Grab Holdings Limited Q3 FY2024 earnings call

• Third quarter 2024 was a strong quarter with On-Demand GMV growth accelerated. • Group adjusted EBITDA more than tripled to $90 million, 11th consecutive quarter of adjusted EBITDA improvement. • Monthly Transacting Users grew 16% year-on-year to 42 million, sixth sequential quarter of growth. • Food to mart cross-sell: Mart grew 1.7x faster than Food, users transacting in both have 5x higher order frequency and 2x higher retention. • Mobility: 30% year-on-year GMV growth from high-value rides, including advanced booking which is popular. • Financial services: Lending products in all three markets, GFin business with sophisticated lending model, banks attracting deposits rapidly. • Optimism about Southeast Asia's growth due to strong inbound tourism and underpenetrated market.

On-Demand GMV saw acceleration year-on-year. Group adjusted EBITDA more than tripled to reach $90 million, marking the 11th consecutive quarter of adjusted EBITDA improvement. Monthly Transacting Users (MTU) grew 16% year-on-year to 42 million, recording the sixth sequential quarter of growth. Delivery GMV grew 16% year-on-year in constant currency terms. Mart grew 1.7x faster than Food in the quarter, with food to mart cross-sell driving growth. Mobility had 30% year-on-year GMV growth from high-value rides. Lending products are now in all three markets. Delivery revenue contribution: details not explicitly given in absolute terms but growth trends mentioned; Mart growth faster than Food with cross-selling as a driver; Mobility's high-value rides contributing to GMV growth.

• Maintained expectations of sequential growth in both on-demand segments heading into the fourth quarter. • Full-year 2024 adjusted EBITDA guidance between $308 million and $313 million.

• Competition in Indonesia and other markets; increased spend from competitors could impact margins. • Variable nature of incentives and investments; incentives may fluctuate quarter-to-quarter based on new product launches and consumer behavior changes. • Impact of new entrants in markets on market share and margins.

Q: How about the competitive landscape in markets like Singapore, Vietnam, Thailand and scope to reduce group corporate costs?

A: Alex Hungate said region is competitive but Grab has scale and operating leverage, using AI to optimize; Peter Oey said regional corporate costs have variable and fixed components, will continue to drive operating leverage, with corporate costs tied to volume and some investments in GenAI for productivity.