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Delivery Hero expects to grow core earnings in MENA in 2020 - CFO

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By Reuters
Delivery Hero expects to grow core earnings in MENA in 2020 - CFO
FILE PHOTO: The Delivery Hero headquarters is pictured in Berlin, Germany, June 2, 2017. REUTERS/Fabrizio Bensch   -   Copyright  FABRIZIO BENSCH(Reuters)

BARCELONA (Reuters) – German food delivery company Delivery Hero <DHER.DE> said it expects to grow its adjusted core earnings in the Middle East and North Africa while still investing in the region in 2020, and that Europe would break even for the full year.

Chief Financial Officer Emmanuel Thomassin told investors at the Morgan Stanley Technology, Media and Telecoms conference on Thursday that the firm had not given guidance for 2020 because it was still finalising budgets and considering proposals.

“But what you can expect is that MENA will continue to be positive, and increase the EBITDA in absolute terms and not at the cost of investment,” he said.

“In Europe we will be breakeven for the full year (…) and we will continue to invest for sure in APAC.”

The company said last month it expected to reach adjusted EBITDA breakeven in Europe in the fourth quarter of 2019.

Thomassin also said consolidation would continue in the sector.

Delivery Hero would continue to look at every single acquisition that was on the table, he said, and would focus on markets where it had the possibility to increase its share.

(Reporting by Paul Sandle; Editing by Jan Harvey)