Talabat (TALABAT) Q4 2025 earnings summary

Executive summary

• Achieved 21% year-over-year GMV growth and 26% revenue growth in Q4 2025, with full-year GMV reaching $9.5bn (+28% y/y) and revenue $3.92bn (+33% y/y), meeting or exceeding guidance.

• Adjusted EBITDA reached $156 million (6.3% of GMV) in Q4 and $615 million (6.5% of GMV) for the year; net income was $123 million (5% of GMV) in Q4 and $464 million (4.9% of GMV) for the year.

• Customer base expanded by 1.2 million (+19% y/y), with high-value customers driving retention and multi-vertical usage.

• Strategic focus for 2026 includes grocery acceleration, new ventures, Talabat Pro subscription, AI-driven personalization, and cultural revitalization.

• IPO completed in December 2024, listing 20% of shares on the Dubai Financial Market.

Financial highlights

• Q4 2025 GMV reached $2.5bn, management revenue $1.0bn, adjusted EBITDA $156mn (6.3% of GMV), and net income $123mn (5.0% of GMV).

• Full-year adjusted free cash flow was $559mn (5.9% of GMV), up 21% y/y.

• Revenue growth outpaced GMV due to scaling of grocery-integrated verticals and better AdTech monetization; GMV to revenue conversion rate improved to 42% from 40%.

• Talabat Mart GMV now 15% of total, up from 12% prior year; Talabat Mart is 33% of revenue.

• Cash and cash equivalents at year-end were USD 773.7 million.

Outlook and guidance

• 2026 guidance: GMV growth of 11%-14%, IFRS revenue growth of 14%-17%, adjusted EBITDA of $510-$540 million, net income of $280-$310 million, and free cash flow of $370-$400 million.

• Adjusted EBITDA margin guidance for 2026 is 4.4–4.8%, net income margin 2.4–2.8%, FCF margin 3.2–3.6%, and dividends at 90% of net income.

• Guidance factors in macroeconomic headwinds, competitive intensity, and the dilutive impact of InstaShop.

• Over $100 million investment planned for 2026, including $45 million CapEx for Talabat Mart infrastructure and Talabat Pro enhancements.

• Strategic investments aim to strengthen food leadership and expand everyday app capabilities.