Grab boosts sales, earnings forecasts on rising ride demand

Grab Holdings has raised its full-year revenue and profit forecasts after quarterly earnings surpassed expectations. The company expects sales to rise between US$4.15 billion and US$4.2 billion this year, with adjusted earnings before interest, taxes, depreciation and amortisation reaching up to US$800 million. In August, Grab had forecast sales of up to US$4.15 billion and earnings of US$740 million.

The stock price increased by 2% in after-hours trading following the announcement. Grab added approximately 3 million monthly users in the quarter, bringing the total to 57 million. While competition remains intense, with rivals like GoTo and Green & Smart Mobility JSC targeting markets such as Indonesia and Vietnam, rising ride-hailing and food-delivery demand is expected to help offset regulatory obstacles.

Higher fuel prices are increasing costs for ride and delivery services across the region of about 700 million people. Grab has been successful in retaining users by offering a range of affordable and premium options and expanding into games and microdramas through partnerships with other platforms. Despite regulatory pressure and competition from other players, including potential threats from Uber and Waymo, Grab continues to invest in growth beyond its core business.