SINGAPORE: Southeast Asia’s largest ride-hailing and delivery company Grab yesterday raised its revenue and earnings forecasts for 2026, driven by steady growth in its ride-hailing business and stronger demand for delivery services.
The Singapore-based company now expects annual revenue of between US$4.15 billion (RM17 billion) and US$4.2 billion, up from its previous forecast of US$4.1 billion to US$4.15 billion.
Grab also raised its annual adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) forecast to between US$790 million and US$800 million, compared with its earlier projection of US$720 million to US$740 million.
Grab chief financial officer Peter Oey told Reuters that elevated fuel costs continued to put pressure on drivers, while inflation was also weighing on consumer spending.
“Elevated fuel costs continue to put a lot of pressure on our drivers, and we’re also seeing some inflation… pressuring consumers. But despite that, the consumer continues to come to the platform, order more and spend more,” he said.
The company’s delivery business benefited from promotional offers, the expansion of GrabMall and its growing presence in categories beyond groceries, including pharmaceuticals and beauty products.
These initiatives helped encourage higher platform usage and larger order sizes, contributing to the company’s overall revenue growth.
Meanwhile, Grab’s financial services division recorded its first positive adjusted EBITDA of US$12 million in the third quarter ended September, marking a turnaround from a loss of US$28 million in the corresponding period last year.
The improvement was supported by increased adoption of the company’s lending, insurance and other financial services among drivers and merchants using its platform.
To support its driver network, Grab has also introduced fuel subsidies, insurance benefits and lending programmes aimed at helping drivers transition to electric vehicles (EVs).
According to Oey, these initiatives are designed to ease the financial burden on drivers while encouraging greater participation on the platform.
The company said the incentives were helping increase its number of active drivers ahead of the crucial holiday travel season, when demand for ride-hailing services typically rises.
For the third quarter, Grab reported a 27% increase in revenue to US$1.11 billion, exceeding analysts’ expectations of US$1.07 billion, according to data compiled by LSEG.
Grab shares rose 5% in extended trading on Monday, although the stock had declined 42% so far this year.
