Delivery Hero SE stands as one of the world’s foremost local-delivery platforms, connecting millions of consumers with restaurants, grocery stores, pharmacies, and convenience retailers through its globally recognized network of online and mobile applications.
Company Profile and Introduction
Headquartered in Berlin, the Group operates across more than 70 countries through powerful regional brands including foodpanda, Glovo, talabat, foodora, Yemeksepeti, and others.
The company’s mission is simple yet bold: to deliver an amazing experience — fast, easy, and right to your door. Delivery Hero’s integrated technology platform enables everything from restaurant meals and quick-commerce grocery orders to advertising technology and financial-services integrations. In 2024, this ecosystem touched more than 2 billion people worldwide, supported by thousands of partners, riders, and employees working under a unified vision: We deliver solutions. We always aim higher. We are Heroes because we care.
Vision and Purpose
At its core, Delivery Hero aims to shape the future of delivery by combining food, grocery, and quick-commerce verticals into a single, seamless experience. The company continues to scale innovation, sustainability, and inclusion while maintaining operational excellence. Its long-term ambition is to build a sustainable, technology-driven enterprise that future generations can be proud of.
At a Glance — 2024 Highlights
| Metric | 2024 (EUR million) | 2023 (EUR million) | Change % |
|---|---|---|---|
| Gross Merchandise Value (GMV) | 48 ,754 | 45 ,275 | +7.7 % |
| Total Segment Revenue | 12 ,796 | 10 ,463 | +22.3 % |
| Adjusted EBITDA | 692 | 254 | > 100 % increase |
| Adj. EBITDA / GMV margin | 1.4 % | 0.6 % | +0.8 pp |
Regional Breakdown 2024
| Segment | GMV (EUR m) | YoY % | Segment Revenue (EUR m) | Adj. EBITDA (EUR m) | Margin % |
|---|---|---|---|---|---|
| Asia | 23 ,407 | −7.7 % | 4 ,071 | 385 | 1.6 % |
| MENA | 12 ,826 | +28.8 % | 3 ,528 | 473 | 3.7 % |
| Europe | 8 ,879 | +18.2 % | 1 ,892 | −77 | −0.9 % |
| Americas | 3 ,642 | +48.6 % | 940 | 10 | 0.3 % |
| Integrated Verticals | 2 ,905 | +30.6 % | 2 ,710 | −99 | −3.4 % |
Overall, Delivery Hero generated 48.8 billion EUR GMV, with roughly 90 % of that value coming from markets where the company holds a #1 position.
Values and Culture
Delivery Hero’s success is rooted in a shared set of values practiced across all regions and brands:
- We Deliver Solutions.
The company actively seeks to solve real customer and partner challenges through technology, data, and operational insight. - We Always Aim Higher.
Every team continuously challenges existing standards to redefine convenience and speed. - We Are Heroes Because We Care.
Empathy, responsibility, and inclusion guide all interactions — from customers to riders and communities.
This culture has become a competitive advantage, fostering loyalty, innovation, and sustainable practices that differentiate Delivery Hero in the global market.
Investment Highlights and Strategic Pillars
1. Multi-Vertical Ecosystem
The integration of food, groceries, and quick-commerce offerings in a single application creates a compelling user proposition. This “multi-verticality” unlocks an estimated long-term GMV potential above €200 billion, enabling synergies in logistics, advertising, and payments.
2. Predictable Cohort Model
Delivery Hero’s cohort model demonstrates that order frequency and basket size increase over time as customer loyalty deepens. This translates into recurring revenue and predictable cash flows per cohort.
3. Technology at the Core
The Group develops technology and products centrally — covering logistics algorithms, vendor solutions, payment systems, picker apps, search, and AI-based customer service. Local teams then execute region-specific customizations.
4. Thriving AdTech Business
Its high-margin AdTech segment — comprising advertising and non-commission revenues — is projected to surpass €1.5 billion in 2025 and account for more than 4 % of Group GMV long-term.
5. Profitability and Cash Generation
Adj. EBITDA/GMV is forecast to rise from ~1.9 % in 2025 to 5–8 % by 2030, with cash conversion around 70 %. This reflects Delivery Hero’s shift from hyper-growth to profitable scale.
6. Global Leadership
Serving over 2 billion people across more than 70 countries, Delivery Hero remains the #1 delivery platform in roughly 90 % of its GMV markets, showcasing a truly global leadership footprint.
Letter from the CEO — Niklas Östberg
In his 2024 letter to shareholders, Co-Founder and Chief Executive Officer Niklas Östberg highlighted a year of transformative achievement. Delivery Hero drove double-digit revenue growth across all segments, tripled its adjusted EBITDA, and generated a free cash-flow uplift of more than €460 million.
Key milestones included:
- Record operational scale: Over 10.4 million orders processed in a single day (December 2024).
- Historic IPO of talabat Holding plc in Dubai — the largest global tech IPO of 2024 — raising ~€1.8 billion and strengthening financial flexibility.
- Sustained regional leadership: Glovo achieved positive adjusted EBITDA in H2 2024; Foodora and Yemeksepeti continued profit momentum; the Americas segment turned profitable for the first time.
- Technological innovation: Integration of AI across logistics and customer experience, automation for cost efficiency, and cross-brand technology sharing.
- Human capital focus: Appointment of Benjamin Mann as Chief Technology Officer and Marie-Anne Popp as incoming Chief Financial Officer to strengthen leadership.
Östberg emphasized Delivery Hero’s strategic priorities: profitable growth, sustainable cash generation, innovation through AI and automation, and responsible corporate citizenship.
“Our long-term strategy remains to keep driving sustainable growth, enhancing our technology through innovation, and reinforcing our position as the world’s leading local delivery platform — at attractive margins and with strong cash flows.” — Niklas Östberg
Leadership and Management Team
- Niklas Östberg — Co-Founder & Chief Executive Officer
- Pieter-Jan Vandepitte — Chief Operating Officer
- Benjamin Mann — Chief Technology Officer
- Marie-Anne Popp — Chief Financial Officer (from 2025)
- Johannes Bruder — Chief Product Officer
- Ana Mitrasevic — Chief People & Sustainability Officer
These executives lead Delivery Hero’s strategic path toward innovation, sustainability, and profitability, supported by a diverse network of regional leaders spanning Asia, MENA, Europe, and the Americas.
Supervisory Board Overview
In 2024, Delivery Hero strengthened its corporate governance through an expanded and diverse Supervisory Board, chaired by Kristin Skogen Lund. The Board comprises eight members — four shareholder representatives and four employee representatives — ensuring balanced oversight and strategic guidance.
Key Supervisory Board members include:
- Kristin Skogen Lund (Chair)
- Dr. Martin Enderle (Deputy Chair)
- Roger Rabalais
- Scott Ferguson
- Gabriella Ardbo Engarås
- Nils Engvall
- Isabel Poscherstnikov
- Dimitrios Tsaousis
The Board met frequently throughout 2024 (22 plenary meetings plus 37 resolutions by circulation) to oversee strategic initiatives such as the talabat IPO, foodpanda divestments, and major financing transactions.
Corporate Governance Principles
Delivery Hero adheres to German Corporate Governance Code (GCGC) principles emphasizing transparency, accountability, and sustainable management. The Management and Supervisory Boards jointly ensure compliance with statutory obligations and ethical standards.
Governance highlights include:
- A robust Risk Management System (RMS) integrated with Internal Control and Compliance functions.
- Independent Internal Audit department reporting to the Audit Committee.
- Strict policies on conflicts of interest, data protection, and whistle-blower mechanisms.
- Active Supervisory Board committees (Audit, Remuneration, Nomination, Strategy) ensuring focused oversight.
Commitment to Sustainability and Ethical Conduct
Delivery Hero’s Code of Conduct defines expected behavior across its global operations. The company maintains a zero-tolerance policy for corruption, fraud, or breaches of competition law, and operates an anonymous whistle-blower system for employees and third parties.
The Group’s sustainability framework focuses on:
- Environmental impact reduction: lower carbon footprint via eco-friendly deliveries and packaging.
- Social responsibility: supporting riders and communities through fair labor policies and digital training.
- Governance strength: embedding transparency and ethical decision-making at all levels.
Asia: Strong Platform Foundation and Return-to-Growth Ambitions
Asia remains the largest contributor to Delivery Hero’s global GMV, accounting for almost half of the Group’s total.
In 2024, the region recorded:
- GMV € 23.4 billion (-7.7 % YoY)
- Segment Revenue € 4.07 billion (+ 9.2 %)
- Adjusted EBITDA € 385 million (stable YoY)
- Adj. EBITDA/GMV 1.6 % (+ 0.1 pp)
The decline in GMV was primarily due to currency and macro-pressures in South Korea (Woowa Brothers) and cautious consumer sentiment following 2023’s inflation surge. Yet, the region maintained profitability thanks to disciplined cost management, improved order density, and successful subscription offerings.
Korea – Enhancing Customer Loyalty
Korea is Delivery Hero’s single largest market by GMV. 2024 marked a transformation year focused on customer experience and product differentiation.
Key initiatives included:
- New UX redesign for easier discovery and repeat orders.
- Subscription plans offering delivery-fee savings and loyalty perks.
- AI-driven logistics reducing average delivery time and boosting customer satisfaction.
These initiatives positioned Woowa Brothers for a rebound in 2025, with management explicitly targeting a return to GMV growth while preserving margin discipline.
foodpanda – Resilient Momentum Across APAC
Across Southeast Asia, foodpanda delivered positive adjusted EBITDA (before Group costs) for H2 2024.
Highlights:
- Three consecutive quarters of order growth
- Strong customer traction in Hong Kong and Singapore
- Operational efficiencies in logistics and rider engagement
Although Delivery Hero explored a partial divestment of foodpanda in select markets (Taiwan sale finalized to Uber), the brand remains strategically important. The Group expects improved profitability and market stabilization in 2025.
Key Takeaways – Asia
- Core profitability sustained despite top-line pressure.
- Strategic focus on subscription, automation, and UX innovation.
- Target: Regain GMV growth in 2025 with sustained EBITDA margin near 2 %.
MENA – Exceptional Growth and Landmark IPO
The Middle East and North Africa (MENA) region emerged as Delivery Hero’s fastest-growing segment in 2024:
- GMV € 12.83 billion (+ 28.8 %)
- Revenue € 3.53 billion (+ 30.6 %)
- Adjusted EBITDA € 472.9 million (+ 55 %)
- Margin 3.7 %, up 0.6 pp
talabat Holding plc – Historic IPO
The most notable achievement was the December 2024 listing of talabat Holding plc on the Dubai Financial Market – the largest global tech IPO of the year.
- € 1.8 billion proceeds strengthened Delivery Hero’s liquidity and capital flexibility.
- Delivery Hero retained an 80 % stake, maintaining long-term control and exposure to regional upside.
- IPO proceeds earmarked for deleveraging, technology investment, and expansion of integrated verticals.
Operational Excellence
MENA markets benefit from rapid digital adoption, young demographics, and strong logistics infrastructure. talabat’s leadership across the GCC (UAE, Kuwait, Qatar, Bahrain, Oman) and Egypt enables cross-border economies of scale.
Highlights include:
- Continuous rollout of Dmarts (dark stores) for 15-minute grocery delivery.
- Expansion of AdTech revenues through local advertising partnerships.
- AI-enhanced dispatch tools improving average rider productivity.
Outlook
With a solid IPO foundation and high smartphone penetration, MENA is expected to remain Delivery Hero’s profit engine, targeting double-digit growth and sustained > 4 % EBITDA margin by 2025.
Europe – Transition Toward Profitability
Europe delivered a strong turnaround trajectory in 2024 despite lingering inflation and regulatory adjustments.
- GMV € 8.88 billion (+ 18.2 %)
- Revenue € 1.89 billion (+ 24.3 %)
- Adjusted EBITDA – € 77 million (-54 % vs 2023 loss)
- Margin – 0.9 % (+ 1.3 pp)
Glovo – Driving Southern Europe’s Profit Shift
Glovo, headquartered in Barcelona, achieved positive adjusted EBITDA in H2 2024 – a milestone following years of heavy investment.
Key drivers:
- Optimized rider costs and logistics network densification.
- Product-category expansion beyond food into convenience, parcels, and retail.
- Streamlined brand integration within Delivery Hero’s global tech stack.
Additionally, Glovo will shift to an employment-based rider model in Spain from 2025 to reduce legal uncertainties. Despite higher short-term costs, this move reinforces compliance and brand trust.
foodora – Northern Europe Profit Momentum
foodora continued profitability improvements across Scandinavia and Central Europe, leveraging:
- Unified marketing and technology integration with foodpanda and Yemeksepeti.
- Increased subscription penetration and efficiency in last-mile logistics.
Regulatory and Market Adaptation
Europe’s delivery landscape remains dynamic, shaped by evolving labor laws and sustainability mandates. Delivery Hero is proactively aligning its operations, emphasizing environmental standards, employee protection, and community partnership.
Americas – Breaking Even and Building Momentum
The Americas segment reported a remarkable performance rebound in 2024:
- GMV € 3.64 billion (+ 48.6 %)
- Revenue € 939.6 million (+ 44.3 %)
- Adjusted EBITDA € 10.3 million (vs – € 49.9 million in 2023)
- Margin 0.3 % (+ 2.3 pp)
Key Performance Factors
- Strong demand from Latin America’s rapidly urbanizing middle class.
- Rising adoption of Delivery Hero’s AdTech and fintech offerings.
- Efficient platform integration and localized marketing execution.
The Americas segment achieved positive EBITDA for the first time, underscoring scalable economics and a sustainable cost base.
Future Focus
Delivery Hero aims to deepen penetration in tier-two cities and leverage its advertising technology platform to monetize merchant visibility. Favorable demographics and under-served markets make the region a long-term growth pillar.
Integrated Verticals – Dmarts and Beyond
The Integrated Verticals segment – which includes owned dark stores, quick-commerce operations, and certain logistics services – continues to play a strategic role in Delivery Hero’s value chain.
- GMV € 2.9 billion (+ 30.6 %)
- Revenue € 2.71 billion (+ 27.5 %)
- Adjusted EBITDA – € 98.7 million (-55 % loss reduction)
- Margin – 3.4 % (+ 6.4 pp YoY improvement)
Performance Drivers
- Expansion of Dmarts offering ultra-fast grocery delivery in key markets (MENA, Asia, Europe).
- Enhanced warehouse automation and AI-driven inventory management.
- Integration with main platform to improve basket conversion.
Although the segment still records a loss, its trajectory shows clear improvement. The Group expects Integrated Verticals to reach breakeven in 2026 as fulfillment density and automation increase.
Cross-Brand and Global Synergies
2024 was characterized by Delivery Hero’s push toward cross-brand consolidation – a unifying move across product, engineering, and data teams.
- Integration of Glovo into the global tech stack enhanced efficiency.
- Shared R&D resources between foodora, foodpanda, and Yemeksepeti accelerated innovation cycles.
- Centralized AI and data platform supporting demand forecasting and fraud detection.
These synergies strengthened operational scalability, reduced duplicate costs, and amplified brand reach.
People and Culture Across Regions
Delivery Hero’s regional success is underpinned by its 50,000 + employees and hundreds of thousands of riders worldwide.
Key 2024 initiatives:
- Global leadership development programs focusing on technology, inclusion, and resilience.
- Enhanced ESG reporting and training across all business units.
- Rider-care programs providing access to insurance, support centers, and digital tools.
Ana Mitrasevic, Chief People & Sustainability Officer, emphasized that these people-centric initiatives reinforce Delivery Hero’s competitive edge while supporting long-term sustainability goals.
Summary – Regional Performance 2024
| Region | GMV (€ billion) | YoY Change % | Adj. EBITDA (€ million) | Margin % | Key Highlights |
|---|---|---|---|---|---|
| Asia | 23.4 | -7.7 | 385 | 1.6 | Stable profitability; focus on UX and subscription growth |
| MENA | 12.8 | +28.8 | 473 | 3.7 | talabat IPO; strong regional leadership |
| Europe | 8.9 | +18.2 | -77 | -0.9 | Glovo profit turnaround; regulatory adaptation |
| Americas | 3.6 | +48.6 | 10 | 0.3 | First segment profit; expanding AdTech revenues |
| Integrated Verticals | 2.9 | +30.6 | -99 | -3.4 | Improved margins; Dmarts expansion |
Delivery Hero’s multi-region strategy allows the Group to offset regional volatility with balanced growth drivers. Strong MENA and Americas results compensated for Asia’s temporary decline, while Europe’s profit improvement and Integrated Verticals show clear scalability potential.
Group Financial Performance Overview
Delivery Hero SE achieved a significant financial turnaround in 2024, marking the company’s transition from a growth-centric to a profit-focused phase. With double-digit revenue expansion, substantial margin improvement, and enhanced cash generation, the Group showcased its ability to scale efficiently across regions.
Consolidated Key Financials (EUR million)
| Indicator | FY 2024 | FY 2023 | Change YoY |
|---|---|---|---|
| Gross Merchandise Value (GMV) | 48,754 | 45,275 | +7.7 % |
| Total Segment Revenue | 12,796 | 10,463 | +22.3 % |
| Adjusted EBITDA | 692 | 254 | > 100 % |
| EBITDA Margin (Adj. EBITDA/GMV) | 1.4 % | 0.6 % | +0.8 pp |
| Net Loss (Group) | -961 | -2,831 | +1,870 improvement |
| Operating Cash Flow | +401 | -72 | +473 turnaround |
| Free Cash Flow | +291 | -171 | +462 improvement |
| Liquidity (Cash + Investments) | 3,219 | 2,825 | +14 % |
Delivery Hero’s adjusted EBITDA tripled year-over-year, driven by operational efficiency, improved order density, and scale benefits across its AdTech and Integrated Verticals segments. The Group’s net loss narrowed by more than 65 %, reflecting a clear move toward sustainable profitability.
Revenue and Margin Drivers
- Commission Revenue (Core Platform):
- Primary revenue source, driven by restaurant and merchant commissions.
- Benefited from optimized take rates and regional brand strength.
- Advertising and Value-Added Services:
- AdTech and logistics service offerings expanded rapidly, achieving >40 % YoY growth.
- Expected to represent over 10 % of total revenues by 2026.
- Integrated Verticals (Dmarts & Quick-Commerce):
- Continued expansion with improved warehouse productivity and automation.
- Gradual path to breakeven supported by economies of scale.
- Subscription and Loyalty Revenue:
- Expanded across Asia, MENA, and Europe, with millions of active subscribers.
- Contributed stable recurring income and enhanced customer retention.
Profitability and Cost Discipline
Delivery Hero achieved record operating leverage, particularly in logistics, marketing, and support functions.
- Delivery Efficiency:
Rider productivity improved by over 15 %, reducing per-order cost.
AI-powered dispatch optimization and zone-based delivery reduced idle time. - Marketing Efficiency:
Marketing costs declined to 3.4 % of GMV (vs 4.1 % in 2023), reflecting better organic retention. - Technology and G&A Control:
Shared technology infrastructure and centralization of product development reduced redundancy across brands.
Collectively, these initiatives delivered an incremental EBITDA margin improvement of 80 basis points — among the best improvements in the global delivery sector.
Cash Flow and Capital Structure
Delivery Hero’s 2024 free cash flow turned positive €291 million, marking its first full-year positive cash generation in company history. This improvement stemmed from:
- Higher operating profit.
- Efficient working-capital management.
- Strong contribution from the talabat IPO proceeds.
Capital and Liquidity
| Metric | FY 2024 | FY 2023 |
|---|---|---|
| Cash and Cash Equivalents | 3,219 | 2,825 |
| Gross Financial Liabilities | 5,960 | 6,127 |
| Net Debt | 2,741 | 3,302 |
| Equity Ratio | 26.3 % | 24.5 % |
The company’s net debt decreased by €561 million, supported by IPO proceeds, asset disposals (foodpanda Taiwan sale), and stronger cash generation.
Delivery Hero’s equity ratio rose to 26.3 %, reflecting a robust balance sheet position for continued investment and shareholder value creation.
Segment Financial Overview
Asia
- Revenue €4.07 billion
- Adjusted EBITDA €385 million
- Margin 1.6 %
Asia remained the most profitable region by absolute contribution, leveraging scale and technology integration.
MENA
- Revenue €3.53 billion
- Adjusted EBITDA €473 million
- Margin 3.7 %
The region’s margin leadership reflects superior logistics density and strong advertising monetization.
Europe
- Revenue €1.89 billion
- Adjusted EBITDA –€77 million
- Continued improvement driven by Glovo’s positive EBITDA turnaround.
Americas
- Revenue €940 million
- Adjusted EBITDA €10 million
- First positive result in the region’s history.
Integrated Verticals
- Revenue €2.71 billion
- Adjusted EBITDA –€99 million
- Significant progress toward breakeven due to better automation and cost control.
Balance Sheet and Investments
Assets
Total assets increased slightly to €11.8 billion, driven by higher intangible assets (brand value of Glovo and talabat), and investment in proprietary technology.
Liabilities
Total liabilities decreased due to repayment of convertible bonds and optimization of lease liabilities, improving leverage ratios.
Equity
Shareholder equity stood at €3.1 billion, supported by strong operational gains and valuation uplift from strategic transactions.
Corporate Governance and Oversight
Delivery Hero operates under a two-tier governance system as mandated in Germany — comprising the Management Board and Supervisory Board.
Management Board
Responsible for day-to-day operations, strategic execution, and business leadership.
Members (as of 2024):
- Niklas Östberg – CEO
- Pieter-Jan Vandepitte – COO
- Benjamin Mann – CTO
- Marie-Anne Popp – CFO (effective 2025)
- Johannes Bruder – CPO
- Ana Mitrasevic – Chief People & Sustainability Officer
Supervisory Board
Oversees management, approves major transactions, and ensures compliance with the German Corporate Governance Code (GCGC).
Composition (2024)
- Kristin Skogen Lund – Chair
- Dr. Martin Enderle – Deputy Chair
- Scott Ferguson – Member
- Roger Rabalais – Member
- Employee Representatives: Gabriella Engarås, Nils Engvall, Isabel Poscherstnikov, Dimitrios Tsaousis
The Supervisory Board met 22 times in 2024 and approved all key strategic decisions including the talabat IPO, divestments, and refinancing measures.
Ethics, Compliance, and Risk Management
Delivery Hero’s compliance framework is grounded in integrity, transparency, and accountability.
Compliance Principles
- Code of Conduct: Defines ethical behavior for all employees and partners.
- Anti-Bribery and Corruption Policies: Zero tolerance for fraud or unethical practices.
- Whistleblower System: Anonymous, 24/7 reporting channel for employees and third parties.
Risk Management
The Group applies a comprehensive Enterprise Risk Management (ERM) framework covering:
- Market and macroeconomic risks
- Operational and IT risks
- Legal and regulatory compliance
- ESG and reputational risks
Internal Audit reports directly to the Audit Committee, ensuring independent oversight.
Sustainability Performance
Sustainability remains a core pillar of Delivery Hero’s global strategy. The company integrates environmental, social, and governance (ESG) priorities into every decision-making process.
Environmental Impact
- Carbon Reduction:
- Increased use of electric vehicles and bicycles for delivery.
- 36 % of last-mile deliveries in Europe and MENA were low-emission by 2024.
- Goal: Net-zero operations by 2040.
- Packaging Sustainability:
- Partnerships with suppliers to expand compostable and recyclable packaging.
- foodpanda and talabat rolled out “opt-out for cutlery” features in all markets.
- Energy Efficiency:
- Implementation of solar energy solutions in Dmarts and dark stores.
- 23 % reduction in energy intensity (kWh per order) compared with 2023.
Social Impact
- Rider Welfare:
- Over 100,000 riders covered by accident insurance globally.
- Expansion of Hero Support Centers offering healthcare, rest areas, and grievance handling.
- “Rider Voice” program introduced to include rider representatives in quarterly review meetings.
- Employee Engagement:
- 50,000+ global employees participated in leadership and digital training.
- Employee engagement score reached 81 %, one of the highest among tech peers.
- Community Initiatives:
- “Heroes Give Back” program raised €12 million for local charities and humanitarian aid.
- Partnerships with UN World Food Programme to combat food insecurity.
Governance and ESG Oversight
- Sustainability integrated under Chief People & Sustainability Officer (Ana Mitrasevic).
- Regular ESG progress reviewed by Supervisory Board’s Sustainability Committee.
- Reporting aligned with Global Reporting Initiative (GRI) and EU Taxonomy standards.
Innovation and Digital Transformation
Delivery Hero continues to invest heavily in AI, automation, and data analytics to optimize user experience and operational efficiency.
Key initiatives in 2024:
- AI-based Delivery Forecasting: Predicts order surges and reduces wait time.
- Dynamic Pricing Models: Adjust delivery fees based on real-time conditions.
- Chatbot and Voice Support: Over 60 % of customer interactions handled via AI, improving resolution times by 40 %.
- Predictive Rider Allocation: Boosted average delivery speed by 12 %.
The company also advanced its fintech solutions including in-app payments, wallet features, and instant payouts for riders.
Technology Infrastructure
Delivery Hero’s platform runs on a centralized cloud-based system supported by data centers in Europe and Asia.
- Over 1,500 engineers and 300 data scientists collaborate globally.
- Adoption of microservices architecture for scalability.
- Cybersecurity enhancements achieved ISO 27001 certification across all main platforms.
This strong technology backbone ensures resilience, adaptability, and real-time responsiveness across the network.
Future Strategy and Growth Outlook
As Delivery Hero SE advances into 2025 and beyond, the company is fully focused on sustainable growth, technological leadership, and profitability expansion. Having achieved its first full-year positive free cash flow in 2024 and a strong EBITDA uplift, the Group’s next phase targets higher margin capture and enhanced shareholder returns.
Strategic Priorities for 2025–2030
- Sustainably Profitable Growth
Delivery Hero’s top priority is to maintain consistent GMV and revenue growth while improving operating leverage.- Target GMV CAGR 10–12 % (2025–2028)
- EBITDA margin to expand from 1.4 % in 2024 to 5–8 % by 2030
- 70 %+ cash conversion of adjusted EBITDA into free cash flow
- Deepening Multi-Vertical Ecosystem
- Expansion of grocery, retail, and quick-commerce within the main delivery platforms.
- Strengthening Dmart operations and leveraging logistics to support local merchants.
- Developing AI-based personalization to increase order frequency and customer loyalty.
- Expanding AdTech and FinTech Revenue Streams
Delivery Hero’s AdTech business — comprising on-platform ads and merchant marketing solutions — will become a key profit lever.- Projected revenue: €1.5 billion by 2025
- Integration of financial services (wallets, lending, pay-later) to diversify margins.
- Operational Excellence and Automation
- Scaling machine learning across rider dispatch, pricing, and customer interaction.
- Continuous improvement in unit economics through automation and route optimization.
- Regional Growth Focus
- MENA remains the profitability leader.
- Asia set for rebound growth, particularly in Korea and Southeast Asia.
- Europe will build on Glovo’s profitability momentum.
- Americas positioned for scalable expansion in Tier 2 cities.
- Sustainability and Responsibility
- Commitment to net-zero emissions by 2040.
- Strengthened partnerships to improve rider welfare and environmental innovation.
2025 Management Outlook
Delivery Hero expects 2025 to build on the strong foundations of 2024:
| Metric | 2025 Guidance | 2024 Actual |
|---|---|---|
| GMV Growth | High-single to low-double digits | +7.7 % |
| Revenue Growth | +15–20 % | +22.3 % |
| Adjusted EBITDA | ≥ €900 million | €692 million |
| Free Cash Flow | Strongly positive | €291 million |
| EBITDA Margin | 1.9–2.3 % | 1.4 % |
The company anticipates continued cash flow strength, supported by improving margins across all segments, particularly MENA and Asia.
Innovation Pipeline and Digital Leadership
Delivery Hero’s future roadmap is anchored around AI-driven transformation and end-to-end automation.
Artificial Intelligence and Data Science
- Personalization Engine: Customizes restaurant listings and promotions to boost user engagement.
- Delivery Forecasting Models: Predicts demand surges and allocates rider supply dynamically.
- Predictive Maintenance: Applied to vehicle fleets and warehouse systems to reduce downtime.
Next-Gen Logistics
- Implementation of autonomous delivery robots and drones in pilot markets.
- Smart-routing algorithms that cut average delivery time by up to 15 %.
- Integration with partner retailers for last-mile logistics-as-a-service.
Digital Inclusion
Delivery Hero also emphasizes digital inclusion by helping local merchants digitize their businesses, empowering small enterprises with access to logistics, advertising, and payment tools.
Environmental, Social, and Governance (ESG) 2030 Vision
- Environment:
- 100 % renewable energy for owned operations by 2030.
- 50 % low-emission delivery fleet by 2027.
- Reduction of food waste through AI demand prediction and partner education.
- Social:
- Expanding rider benefit coverage globally.
- Supporting gender diversity — currently 43 % women in management, targeting parity by 2030.
- Community investments in education, health, and food security.
- Governance:
- Transparent ESG-linked executive compensation.
- Continuous compliance with EU CSRD and GRI standards.
- Independent board sustainability reviews annually.
Shareholder Value and Capital Allocation
Delivery Hero’s improved cash generation opens opportunities for disciplined capital allocation.
Key Priorities
- Debt Reduction: Gradual repayment of outstanding convertible bonds.
- Reinvestment: Continued tech and AI investments for scalable growth.
- Shareholder Returns: Potential share buybacks or dividends post-2026 upon sustained positive cash flow.
The management’s clear financial discipline aims to enhance both growth and long-term shareholder value.
Leadership Outlook
CEO Niklas Östberg reaffirmed Delivery Hero’s commitment to sustainable innovation:
“We’ve built one of the most extensive local delivery networks in the world. The next chapter is about harnessing that scale — responsibly, profitably, and with purpose. We will use technology to simplify everyday life while minimizing our environmental footprint.”
Under Östberg’s leadership, Delivery Hero will continue to prioritize:
- Technological superiority through central product platforms.
- Empowering local leadership teams.
- Integrating sustainability as a growth enabler.
Risk Factors and Mitigation
Key 2025–2026 risk areas and responses include:
| Risk Category | Description | Mitigation Measures |
|---|---|---|
| Regulatory & Legal | Labor classification and data privacy compliance | Employment model shifts, strengthened data governance |
| Market Competition | Intense pricing pressure | Focus on loyalty, AdTech monetization |
| Macroeconomic | Inflation, FX volatility | Hedging policies, dynamic pricing |
| Cybersecurity | Platform vulnerability | ISO-certified cybersecurity framework |
| Environmental | Carbon and packaging waste | ESG innovation and renewable transition |
Delivery Hero’s centralized Risk Management Committee continuously reviews and updates mitigation plans to ensure resilience.
Conclusion
The 2024 fiscal year was a turning point for Delivery Hero SE. The Group transitioned from rapid expansion to profitable, cash-generative growth, achieved major milestones including the talabat IPO, and demonstrated resilience across global markets.
As the company enters 2025, it stands positioned as a global category leader — balancing profitability, sustainability, and innovation. Its strategy blends strong regional execution with cutting-edge technology, empowering millions of consumers, riders, and merchants worldwide.
