GRAB, the carpooling giant based in Singapore, improves its forecasts after a better than expected first quarter.
Business generated $ 773 million in revenue for the first quarter of the year, an increase of 18% compared to the same period a year earlier. GRAB posted strong growth in two -digit percentage in its three activity segments: mobility, deliveries and financial services. He made $ 10 million in quarterly profits, against a loss of $ 115 million a year earlier.
GRAB has also increased its forecasts for adjusted profits before interest, taxes, damping and damping to $ 480 million, against a previous projection of $ 470 million.
CEO Anthony Tan said in prepared remarks that the company had succeeded in supporting the “dynamic of growth of robust demand” even despite the effects of the Lunar New Year and Ramadan. The Lunar New Year and the Ramadan period generally see a slower demand due to people who take prolonged vacation for the first social activities and reduced for the second.
Grab’s optimism is even in the midst of uncertain global macroeconomic conditions, motivated by the trade policies of US President Donald Trump. Growth in the Southeast Asian region should slow down due to American prices, Singapore now warning that it could Report no growth This year.
In his prepared remarks, Tan said that AI and Grab technology will position the company as a “counter-cyclical enterprise that can resist uncertainties”.
But Grab’s concert economy model could also help make it more to the test of the recession. The head of the Alex Hungate exploitation, during the call of the results, noted that the platform and its partners had adapted to past economic slowdowns.
Grab will have new drivers while people try to cover themselves against potential job losses, he said. More drivers will reduce prices overvoltages during loaded periods, thus encouraging more use of the platform.
“It is a kind of self-body approach, almost countertoplic that we see from the platform during these types of slowdowns,” he said. Hungate added that Grab has not yet seen a sign of consumer weakness.
Grab had 44.5 million monthly transaction users for the quarter ending in March, an increase of 16% compared to the same period a year ago.
GRAB shares, which are negotiated on the NASDAQ Stock Exchange, have increased by almost 3% of prechange. The company has increased by around 1% for the year so far.
At the beginning of April, the company announcement A multitude of new products to increase consumption expenses, such as a way to pool food delivery orders with foreigners and advanced reservations for airport vans.
This story was initially presented on Fortune.com
