- Full-year sales to come in between £515m and £530m, instead of £510m-£515m
- Third quarter revenues 47% higher as orders jumped 29%
- That’s mostly thanks to strong performance of its newly acquired SkipTheDishes
- But UK orders grew by 22%, down from 28% last year
Online food delivery firm Just Eat lifted its sales outlook today after continued success of its Canadian business helped third quarter revenues higher.
The group said it now expected sales for the full year to come in between £515million and £530million, instead of previous guidance of £500 to £515million.
It comes as revenues rose 47 per cent in the three months to the end of September to £138.6million, driven by continued strength of its SkipTheDishes Canadian business, which it bought for about £66million in December last year.
In demand: Just Eat saw orders grow across its markets, although they slowed down in the UK
Investors reacted well to the update, with shares in the FTSE 250-listed company rising 3.4 per cent, or 25p, to 765p.
However orders’ growth in its main UK market slowed down, rising 22 per cent to £26.2million, down from growth of 28 per cent in the same quarter last year.
Global orders lifted 43 per cent to £16.9million, as SkipTheDishes recorded triple digit order growth. Total orders were up 29 per cent to 43.1million.
Although it upgraded its sales forecasts, Just Eat left profits forecast unchanged after ‘commensurate investment’ to grow its Canadian business.
New chief executive Peter Plumb, who took the helm in September, said: ‘The Just Eat team has once again delivered another period of strong growth.
‘As I get to know the company, it is great to see the UK business in good health and positive momentum across our international markets, particularly in Canada where SkipTheDishes’ delivery expertise and relentless focus on customer service are driving excellent results.
‘We will continue to invest for growth in technology, marketing and great people.’
Plumb, who was chief executive of Moneysupermarket from February 2009 until May this year, replaced interim chief executive Paul Harrison last month.
The update comes as Just Eat is in the process of acquiring rival Hungryhouse.
Earlier this month, the UK’s competition watchdog said that it had provisionally cleared the takeover despite earlier concerns over how the £240million tie-up could curb competition.
TOP DIY INVESTING PLATFORMS