Delivery Hero Se Unsp/Adr

Welcome to the Delivery Hero Q1 2026 Trading Update. Today's presentation will be followed by a Q&A session. For those of you who have joined the Zoom webinar, you can use the raise hand function at the bottom of your Zoom screen at any time to join the queue to ask a question, and you will be called upon during the Q&A session. If you've dialed in, please press star 9 to enter the queue. If you want to withdraw your question please lower your hand using the raise hand function in the zoom app or via the telephone press star 9. I will now hand over to Andrea Ferraz Estrada to begin the presentation.

Hello, and welcome everyone to our Q1 2026 earnings call. I'm joined today by Niklas Esberg, our CEO, and Marianne Popp, our CFO. Together, they will present the key highlights of our Q1 2026 results. Following their presentations, they will be delighted to address any questions you might have. One reminder before we begin. Talabat will release its own Q1 results on the 12th of May. As a separately listed company, Talabat is bound by its own disclosure obligations, so we won't be able to comment on its specific financials today. We kindly ask that you direct any Talabat-specific questions to its results call. And now, over to you, Niklas.

Thank you, Andrea, and welcome, everyone, also from my side, and thank you for joining us today. We have three key messages for you. First, growth is accelerating. Group GMV grew 8.8% like-for-like in Q1, up from 7.9% in Q4. Quick commerce, now at 18% of GMV, grew 30%. As the number of consumers engaging in quick commerce increases, overall growth accelerates. The result of this everyday app strategy is visible in our group numbers, but also in countries like Saudi Arabia, where we have been seeing an acceleration in growth since the end of last year. Second, profitability is on track. The investments we've made in recent months are supporting higher profitable growth, which makes us confident in our ability to achieve adjusted EBITDA in the upper end of our 910 to 960 million euro range with free cash flow comfortably above 200 million for 2026. Finally, our strategic review remains our top priority. We've agreed to the sale of Taiwan for 600 million US dollar, and we are on track to close that transaction in H2. More work streams concerning the strategic review are ongoing, including asset evaluations and operational efficiencies. In the meantime, we would like to share an update on our everyday app strategy. This is the framework that guides us every single day. We built one of the most capable delivery platform in the world with 1.5 million vendors, 60 million monthly active users, and over 80 fulfillment centers. Our goal is to continue our transformation from restaurant delivery into an everyday app. We are evolving our platform to be the first point of contact for consumers' daily needs, spanning not just for food and groceries, but household essentials, health and beauty, as well as electronics and lifestyle goods. The Everyday App is a habitual, high-frequency platform that consumers reach for every day, and that is the long-term strategy. As we shared at our full year release, our priorities for 2026 are clear, and Q1 demonstrates that we're executing against each one. We're strengthening our leadership positions, You can see that, for example, in the performance of Saudi Arabia, in which we're now starting to see category share increasing one and a half years after a new comparator entered the market with deep discounts. Secondly, our quick commerce expansion. We are now at 18% share of GMV, delivering growth of 30% at an increasing large scale. Thirdly, we are accelerating our AI initiatives, automating 85% of first-line service contracts, rolling out AI agents for sales and support, launching conversational ordering. Internally, our engineers are integrating AI agents and tooling to maximize development efficiencies. But let me start with the strategic review. The strategic review is the top priority for the supervisor board, for the management board, and for me personally. I really believe that the everyday app, Roadbus, has transformative potential and the strategic review helps us unlock it. Three things we want to achieve with the strategy review are, one, we want to go deeper, not broader. We want to operate a tighter geographic footprint where the playbook works and build a stronger comparative mode there. Two, we are sharpening our focus in geographies where we lead and delivering the best customer experience across many verticals there. This will translate into more growth, higher margins, and consequently higher cash flows per share. Three, strengthening the balance sheet and optimizing our capital structure. To get there, we have engaged advisors to evaluate specific assets, and in parallel, we are working on operational efficiencies, organizational improvements, and a capital allocation framework. This is how we compound strong operational performance into long-term shareholder value. We intend to share an update with you on this by early June. Let's continue with our platform update. Today, we believe to have the strongest tech platform globally. Except Korea, it operates as one unified platform with unique localization capabilities for each brand. This gives us the best setup for operational leverage and localization. Some examples, our tech stack has transitioned into an everyday app that is yielding significant results with 55% of GMV now generated by customers engaging across multiple verticals. We lead in customer experience with 96% of markets where we deliver as fast or faster than our competitors. And we keep getting better. And this example of that is that we are delivering an 8% reduction in rider waiting times at restaurant and 50% year-on-year growth in priority deliveries. That engagement converts into loyalty. 43% of our group GMV now comes from subscribers with significant growth still to come. We have further accelerated our development velocity as we have doubled down on AI development. We recently revealed our autonomous AI coding agent, HeroGen, which can handle the entire software development life cycle without human intervention. Engineers and product owners can just describe a feature in natural language and have it deployed in our app end to end. Anthropic has published a case study on it, and Google had us present at their Google Next or Google Cloud Next event last week. It already has an annual coding output equivalent to 130 engineers and is growing double digits per week. We also built an internal global AI platform, which has added capacity of 108 data scientists. And AI innovation is happening across the company. The new gen AI ad ranking model has delivered a 7% increase in return on ad spend as just one example. It's also 30% faster for our data scientists to deploy model changes. Now let's move to the next slide. QuickCommerce is the clearest proof. The everyday app is working with 30% growth in Q1, and critically, it's broad-based. Our strongest regions are growing even faster despite their large scale. That tells you the market is far from saturated. Asia is still only at 7% penetration, and the cash up is inevitable. Moving to KSA. In our last set of results, we committed to strengthen our leadership across geographies. We wanted to share our experience in Saudi Arabia where we have successfully adopted to a new very discount heavy market entrant with limited impact to our business. As most of you will be aware, a discount driven comparator entered the Saudi Arabia market for the first time in September, 2024. They spent a considerable amount of capital providing their services and the goods practically for free. Instead of discounting our offering, we focus on building a superior customer experience. We strengthen our subscription program to ensure our value or our best customers would be rewarded for their loyalty. 61% of our GMV now comes from customers who are part of the program. We improved vendor selection by adding more quick commerce options, our own dark kitchens, and ensuring we continue to lead on the restaurant offering by working with vendors to encourage deals on our platform. By doing so, we have significantly strengthened our value proposition. The share of vendor funded deals has increased by eight percentage points year on year, elevating the affordability for our customers at no additional cost for us. And lastly, service expansion. We have launched a broad range of services, including group ordering, meal for one, curbside orderings, and new loyalty initiatives, all designed to boost consumer engagement. The results is that growth has accelerated since the annualization of Kita's market entry, and margin impact has been limited. Furthermore, we have started to gain category share compared to Q4 2025. And also here, one clarification on the Iran conflict. It supported the order development with an extra high single-digit growth in March, but GMV growth in KSA was above 20% also prior to the conflict. The playbook is working independent of external factors, and it's the primary reason we are so confident in the performance across the group, including Halabat. Let me now hand over to Marianne, who will guide us through the financial highlights.