Last checked at 
(Alliance News) - Deliveroo on Thursday said growth accelerated in the first quarter of 2021, with progress in the UK driven by lockdown restrictions, which saw restaurants open for takeaway services only, as the delivery service gave its maiden trading update as a listed company.
For the three months to March 31, total orders rose 114% on a year before to 71 million, while gross transaction value was GBP1.65 billion, up 130%.
Orders in the UK and Ireland were up 121% to 34 million, while International orders were up 108% to 37 million at the same time last year.
Gross transaction value in UKI was up 142% to GBP852 million, and International GTV was up 119% to GBP794 million year-on-year.
Deliveroo's monthly active consumer base has grown 91% year-on-year to 7.1 million monthly active consumers on average in the quarter.
Defending itself against criticism of how it treats its delivery team, Deliveroo said it works with over 100,000 riders globally. In the UK, rider satisfaction is "at an all time high of 89%" as of the end of the quarter.
Deliveroo also said it works with over 117,000 restaurants as of the end of the period, and continues to increase the availability and choice to consumers on a neighbourhood by neighbourhood basis.
Looking ahead, Deliveroo said it expects its rate of growth to decelerate as lockdowns ease, but the extent of the deceleration remains uncertain. It expects annual GTV growth of between 30% to 40% and gross profit margins of 7.5% to 8.0%.
"Demand has been strong in both the UK&I and International markets driven by record new consumer growth and sustained engagement from our existing consumers. This is our fourth consecutive quarter of accelerating growth, but we are mindful of the uncertain impact of the lifting of COVID-19 restrictions. So while we are confident that our value proposition will continue to attract consumers, restaurants, grocers and riders throughout 2021, we are taking a prudent approach to our full year guidance," said Founder & Chief Executive Officer Will Shu.
Deliveroo shares were down 1.1% at 267.37 pence early Thursday and down more than 30% from the initial public offering price of 390p earlier this month.
Here is what you need to know at the London market open:
----------
MARKETS
----------
FTSE 100: up 0.3% at 6,962.51
----------
Hang Seng: down 0.5% at 28,766.55
Nikkei 225: closed up 0.1% at 29,642.69
DJIA: closed up 53.62 points, 0.2%, at 33,730.89
S&P 500: closed down 0.4% at 4,124.66
Nasdaq Composite: closed down 1.0% at 13,857.84
----------
EUR: unchanged at USD1.1975
GBP: down at USD1.3776 (USD1.3793)
USD: soft at JPY108.90 (JPY108.96)
Gold: up at USD1,745.12 per ounce (USD1,736.27)
Oil (Brent): up at USD66.67 a barrel (USD66.32)
(changes since previous London equities close)
----------
ECONOMICS AND GENERAL
----------
Thursday's Key Economic Events still to come
0930 BST UK Bank of England quarterly Bank Liabilities Survey
0930 BST UK BoE Credit Conditions Survey
0830 EDT US jobless claims
0830 EDT US advance monthly retail sales
0915 EDT US industrial production & capacity utilization
1000 EDT US manufacturing & trade: inventories & sales
----------
Travellers arriving at Heathrow are being forced to queue for up to six hours due to coronavirus checks at the border, an airport executive said. Chief Solutions Officer Chris Garton told members of Parliament that "the situation is becoming untenable" and the police have been forced to step in. Giving evidence to the Commons Transport Select Committee, he explained that wait times in recent days have typically been "well in excess of two hours and up to six hours".
----------
BROKER RATING CHANGES
----------
CITIGROUP RAISES KINGFISHER TO 'NEUTRAL' ('SELL') - TARGET 350 (280) PENCE
----------
SOCGEN RAISES WHITBREAD TO 'HOLD' ('SELL') - TARGET 3,888 (3,002) PENCE
----------
PANMURE RAISES BABCOCK INTERNATIONAL TO 'BUY' ('HOLD') - TARGET 374 (242) PENCE
----------
COMPANIES - FTSE 100
----------
Gambling operator Entain said it delivered a strong first-quarter performance, continuing the momentum seen at the end of 2020 and in line with expectations. For the quarter ended March 31, online net gaming revenue rose 33% to mark Entain's 21st consecutive quarter of double-digit Online NGR growth. However, Retail NGR fell 99% during the three months, as betting shops were closed due to lockdown restrictions. Entain owns the Ladbrokes and Coral high-street chains in the UK. Total group NGR was down 13%.
----------
One of London Stock Exchange Group's biggest shareholders has backed its recent USD27 billion deal to buy Refinitiv and encouraged LSEG to invest "more and sooner" to improve the market data provider's competitive position. The Refinitiv deal was announced in August 2019 and completed in January 2021. Lindsell Train - which holds a 5.0% stake in LSEG, according to Morningstar - in a monthly report for its UK Equity Fund noted that LSEG's share price fell sharply after the announcement of its 2020 results in March, amid investor "disappointment over what were seen as the unexpectedly high costs of integration that prompted the initial share price fall," said Nick Train, portfolio manager of Lindsell Train UK Equity Fund, adding: "We remain supportive and encourage the company to grasp the opportunity by investing more and sooner if necessary, to ensure its long-term competitive position is enhanced."
----------
COMPANIES - FTSE 250
----------
The GMB union has condemned the "mass sackings" of engineers on Wednesday amid a long-running dispute with Centrica over pay and conditions. The BBC reports almost 500 British Gas engineers lost their jobs after refusing to sign new contracts which the union claims will cut pay by 15%. British Gas owner Centrica told the broadcaster around 2% of its staff had chosen not to sign the new contracts, though it reportedly refused to give precise numbers as they could still change. GMB said strike action would continue, with Wednesday marking the 43rd day of industrial action this year.
----------
COMPANIES - MAIN MARKET AND AIM
----------
The Hut Group owner THG said 2020 was a "monumental" first year as a publicly listed company when it listed in September with a market value of GBP5.40 billion. THG reported 2020 revenue of GBP1.6 billion, up 46% from GBP1.1 billion in 2019 but its pretax loss widened to GBP534.6 million from GBP45.2 million. THG incurred an operating loss in the year of GBP482 million, driven by events that have resulted in cash outflows and non-cash charges, the largest of which related to the vesting of share option schemes after the strong share price growth experienced post admission, it explained. THG said that, following a strong end to 2020, sales momentum has continued into 2021 across all divisions, revenue growth for the first-quarter of 58.2%, with stable margins in line with guidance. THG reiterated its recently upgraded 2021 revenue growth guidance of 30% to 35%.
----------
COMPANIES - GLOBAL
----------
Cryptocurrency exchange Coinbase made a dramatic stock market debut Wednesday amid frenzied interest in bitcoin and other virtual currencies despite concerns about a bubble. The enterprise, the first company devoted entirely to cryptocurrency to enter the US stock exchange, debuted on the market well above its reference price and quickly rocketed higher before pulling back somewhat. Coinbase opened on the Nasdaq at USD381 per share, 52% above its reference price and rising as high as USD429.54 before finishing the day at USD328.28. The company ended the day with a market value around USD86 billion after topping USD100 billion earlier in the session.
----------
ABB said it performed better than its latest guidance and current market consensus in the first quarter of its current financial year. The Zurich-based robotics, power and heavy electrical equipment provider said its orders grew by 6% in the three months to the end of March to USD7.75 billion, while revenue was 11% higher, at USD6.9 billion when compared to the prior year. Quarterly demand was likely to have been supported by customer stock-building activities related to both component availability constraints and rising commodity prices in the industry, the company noted. Looking ahead, ABB raised its revenue guidance for 2021 and said it now anticipates comparable revenue growth of 5% or higher. Previously, it predicted comparable revenue growth to be broadly in line with its long-term target range.
----------
Thursday's Shareholder Meetings
Ethernity Networks Ltd - EGM re remuneration of new chair
Heavitree Brewery PLC - AGM
Helios Towers PLC - AGM
John Lewis of Hungerford PLC - AGM
Renold PLC - GM re reduction of capital
----------
By Tom Waite; thomaslwaite@alliancenews.com
Copyright 2021 Alliance News Limited. All Rights Reserved.
