(Reuters) – Delivery Hero on Thursday adjusted its 2021 revenue outlook to the upper end of a previous forecast, as the German online takeaway food company benefits from its heavy investments in food delivery and in so-called quick commerce, which aims to deliver goods in as little as 10 to 15 minutes.
The German group, which said in April its focus on expansion could mean a longer wait for profits, has invested heavily in food delivery and quick commerce, which has grown rapidly during the coronavirus crisis and attracted many new players into the market.
The company now expects to report 2021 revenue at the upper end of its outlook range of 6.4 billion to 6.7 billion euros ($7.75 billion).
It also expects gross merchandise volume in the full year to come in at the higher end of its previous forecast.
“The integrated verticals segment has once again been a crucial driver, supporting this quarter’s solid revenue results and leading to an exceptional QoQ growth, which surpassed listed industry peers,” Chief Financial Officer Emmanuel Thomassin said in a statement.
The integrated verticals business includes quick commerce and Dmarts, which are centrally located dedicated warehouses that cater only to online clients.
Delivery Hero now operates 861 Dmarts, the company said.
Third-quarter revenues surged 89% compared with the previous year, coming in at 1.8 billion euros, the Berlin-based company said.
($1 = 0.8648 euros)
(Reporting by Linda Pasquini in Gdansk. Editing by Jane Merriman)
