Just Eat ups full-year revenue and earnings expectations

Online food delivery service Just Eat upped its expectations for full-year revenues and adjusted earnings as it reported a rise in orders in the third quarter.

In an update for the three and nine months to the end of September, the company said total orders in the third quarter were up 34% year-on-year on both a reported and like-for-like basis.

For the nine months, reported orders were up 47%, while LFL orders were 38% higher.

In the UK, orders were up 28% in the quarter, but this was down from a 50% increase in the third quarter of last year. Just Eat attributed the decline in part to warmer and dryer weather than in 2015.

The company said more than 80% of its UK orders are now being made via mobile devices, versus 74% in the third quarter of last year, with more than 46% of UK orders being made by app, versus 41% a year ago.

Just Eat lifted its guidance for full-year revenue to £371 from £368m at constant exchange rates. It also upped its guidance range for underlying earnings before interest, taxes, depreciation and amortisation to between £109m and £111m, from £106m to £108m.

Chief executive officer David Buttress said: “Just Eat has had another period of strong order growth. Whilst we continue to invest in a number of technology and marketing initiatives and are starting to see the benefits of these in many of our markets, we have continued to focus on delivering the best possible service to our restaurants and customers.

“Consequently, we are pleased to increase revenue and EBITDA guidance for the full year. I would like to thank the whole Just Eat team for their continued hard work and commitment."