Just Eat losses widen despite lockdown sales surge

Just Eat Takeaway.com said it expects to increase its market share in the UK this year after orders rose 88% in the first two months of 2021.

The food delivery group said 2020 had been an exceptional year for the business as the coronavirus pandemic saw more people ordering at home.

Its total revenue increased 54% to €2.4b (£2b) in 2020, up from €1.6b (£1.3b) in the previous 12 months, while adjusted earnings before interest, taxes, depreciation and amortisation rose 18% to €256m (£219m).

But the cost of growing the business saw the company's balance sheets fall into the red, with losses widening from €115m (£98m) in 2019 to €151m (£129m) last year.

It said this was due to costs related to the £6b merger between Just Eat and Takeaway.com last year and a proposed £5.8b takeover of US-based operator Grubhub.

In a dig at rivals such as Deliveroo, which has announced plans to list on the London Stock Exchange, Just Eat Takeaway.com said it was the "clear market leader in the UK" in terms of orders.

The group added its growth rate was "multiple times the growth rate of its competitors", and said it would continue to invest in the business.

In February the company raised €1.1b (£0.94b) through an offering of convertible bonds to fund its strategy.

"Given recent trading and the investment programme, management expects to increase market share in the UK in 2021," the group said.

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