Deliveroo has suffered a double blow after posting spiralling half-year losses and revealing that Next boss Lord Wolfson has stepped down from its board.
The online food delivery app slipped to a pre-tax loss of £147.3m in the six months to June 30, compared to a £95.4m loss during the same period a year ago.
Adjusted EBITDA losses almost trebled year on year, from £25.8m to £67.9m.
Deliveroo sunk further into the red despite recording growth in order numbers, revenues and growth transaction values during the first half of its fiscal year.
Order numbers increased 10% to 160.9 million, while gross translation values climbed 7% to £3.56bn across its domestic and international operations.
GTV grew 8% in the UK and Ireland, outpacing the 6% uptick in GTV in its international operations.
However, across the group, GTV per order slipped 3% to £22.10 as consumers began to tighten their purse strings amid the cost of living crisis.
Revenue advanced 12% to £1.01bn during the six-month period.
Deliveroo boss Will Shu said: “So far in 2022, we have made good progress delivering on our profitability plan, despite increased consumer headwinds and slowing growth during the period. We are confident that in H2 2022 and beyond we will see further gains from actions already taken, as well as benefits from new initiatives.”
Alongside its half-year update, Deliveroo revealed that Lord Wolfson has quit its board with immediate effect.
Wolfson, who took up a role as a non-executive director at Deliveroo last January ahead of its London IPO, said: “After much consideration, and with regret, I believe that the time required to continue in my role at Deliveroo is no longer compatible with my executive and other commitments.
“I have enjoyed my time working with Will, the executive team and my board colleagues over the past 18 months and wish the company all the best for the future.”
Deliveroo chair Claudia Arney added: “Simon has played a key role in supporting the company in its first year as a public company. His experience, advice and guidance have helped to navigate an unprecedented trading environment and to build solid foundations to capitalise on the opportunities ahead of us.
“On behalf of the board, I would like to extend our sincere thanks for his important contribution.”
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