Grab Holdings Limited

Ladies and gentlemen, thank you for joining us today. My name is Ellen and I'll be your conference operator for this session. Welcome to GRAB's second quarter 2023 results call. After the speaker's remarks, there'll be a question and answer session. If you'd like to ask a question during this time, please press star followed by one on your telephone keypad. If you change your mind and would like to revoke your question, please press star followed by two. I'll now turn the call over to Douglas Yu to start the call. Douglas, please go ahead whenever you're ready.

Good day, everyone, and welcome to GRAB's second quarter 2023 earnings call. I'm Douglas Hu, Head of Asia Investor Relations at GRAB, and joining me today are Anthony Tan, Chief Executive Officer, Alex Hungate, Chief Operating Officer, and Peter Owee, Chief Financial Officer. During the call today, Anthony will discuss our key strategic and business achievements, followed by Alex, who will provide operational highlights, and Peter will share details of our second quarter 2023 financial results. FOLLOWING PREPARED REMARKS, WE WILL OPEN THE CALL TO QUESTIONS. AS A REMINDER, TODAY'S DISCUSSION CONTAINS FORWARD-LOOKING STATEMENTS ABOUT THE COMPANY'S FUTURE BUSINESS AND FINANCIAL PERFORMANCE. THESE STATEMENTS ARE BASED ON OUR BELIEFS AND EXPECTATIONS AS OF TODAY. ACTUAL EVENTS AND RESULTS COULD DEFER MATERIALLY DUE TO A NUMBER OF RISKS AND UNCERTAINTIES, INCLUDING MACROECONOMIC, INDUSTRY, BUSINESS, REGULATORY, AND OTHER RISKS WHICH ARE DESCRIBED IN OUR FORM 20F FOR THE YEAR ENDED DECEMBER 31, 2022. and other filings to the SEC. We do not undertake any obligation to update any forward-looking statements. The discussion today also contains non-IFRS financial measures, which should be considered together with, rather than as substitutes for IFRS financial measures. A reconciliation of non-IFRS to IFRS financial measures is included in this quarter's earnings materials. For more information and additional disclosures on recent business performance, please refer to our earnings press release and supplemental presentation for a detailed second quarter 2023 financial review, which can be found on our investor relations website. And with that, I will turn the call over to Anthony to deliver his opening remarks.

Thanks, Doug. Thank you for joining us today. Our second quarter results reflect our ability to execute strongly as we balance growth, category leadership, and profitability. Our focus on expanding our marketplace through affordability initiatives, as well as strengthening engagement through our flagship subscription program called Grab Unlimited, continues to yield results. More people are using Grab now than ever before, with group MTUs at an all-time high, growing by 7% year-on-year and 5% quarter-on-quarter. And at the same time, we further extended our category leadership across the region for ride-hailing and food deliveries. We continue to deliver a solid set of financials, with revenues up 77% year on year, even as we reduced group-adjusted EBITDA losses for the sixth consecutive quarter. I also want to call out that our deliveries GMV hit a record high this quarter. With the first half firmly in the rearview mirror, we look towards the second half with confidence and optimism. There are three key areas I want to call out. Firstly, we expect to drive sequential growth in our deliveries and mobility segments. Demand is robust in July as we continue to drive key affordability initiatives to unlock a greater segment of the market to cater to more users, while deepening engagement and loyalty with Grab Unlimited. Secondly, we expect to scale up new opportunities in financial services and advertising, where we see strong demand potential and benefits for our overall ecosystem. In financial services, we continue to focus on driving up ecosystem transactions. Our lending business is growing strongly yet in a prudent manner. For GXS Bank in Singapore, we've also seen a strong uptick in deposits despite minimal customer acquisition costs after opening up the savings account to more individuals and increasing the maximum allowable deposit per account. Ecosystem linkages are also healthy with one two GXS customers linking their accounts to the Grab wallet. For advertising, we hit a milestone with advertising revenues scaling up to 1% of our deliveries GMV and achieving an annualized revenue run rate of over $100 million. Looking ahead, we will continue to increase ads penetration and improve the monetization of our ads platform. Third, we continue to focus on driving tech innovations to unlock greater operational efficiencies while enhancing the overall user experience. Generative AI will play an increasingly important role in these efforts. For example, we've been using generative AI to augment internal workflows and processes so that grabbers can debug codes and conduct queries faster. For our users, we also introduced LLM-powered features such as translated menus and improved grab chat translations. Overall, we remain optimistic on our longer-term growth prospects and are committed to operating a business anchored on sustainable growth. Southeast Asia is still under-penetrated across our products and services, and we see plenty of headroom to serve beyond the 1 in 20 users and the millions of driver and merchant partners in the region that are on our platform today. And we will aim to do so sustainably as we track towards becoming Southeast Asia's largest and most efficient on-demand platform that enables local commerce, mobility, and access to financial services. I'll now hand over the time to Alex to cover our second quarter operational highlights in more detail.