Just Eat Takeaway has had an abysmal 2021 financially: losses rose to a billion euros due to a growing need for investments in mature markets. The company cuts its losses and leaves Norway, Portugal and has a partial retreat from the United States.
2021 was a year in which the company grew strongly, CEO Jitse Groen stated: turnover rose by a third to 5.3 billion euros, the number of partners grew by a quarter and the number of users by a tenth. However, there was a price to pay, as its losses grew from 151 million euros to over a billion. The company had to admit its historical investments in its older markets have been insufficient, causing market shares to slip. Moreover, costs for financing and integration of its many acquisitions also pushed losses upwards.
Groen remains positive, however, saying that the losses were at their peak in early 2021 and now his company is back on track to profitability. The latter has already been achieved in Northern Europe, with an adjusted ebitda of 256 million euros. The CEO promisies that in other markets too, a focus on profitability will develop.
This inevitably also means having to cut certain costs. At the end of the month, Just Eat Takeaway will leave Norway and Portugal, as its losses there have climbed to ten million euros. A partial retreat will also follow in the United States: the company will leave the US stock exchange and will look for a strategic partner for its American branch.