Just Eat profit soars as mobile orders take off
Online takeaway service Just-Eat Group reported an almost seven-fold jump in half-year profit as the business expanded in Britain and Denmark, its two biggest markets.
Just-Eat, which joined the London stock market in April and also has an Irish operation, added more restaurants to its network and benefited from investment in its technology platform, with the share of orders made using mobile devices exceeding 50pc for the first time.
Shares in Just Eat were trading 7pc higher at 236p in early trade, still well below its market debut price of 260p.
The company said core underlying earnings gained 591pc to £15.9m in the first six months of the year on revenue that was 58pc higher at £69.8m.
"Our growing network of more than 40,000 restaurant partners combined with 6.9 million active users provides further momentum to fuel our expansion through the remainder of 2014 and beyond," Chief Executive David Buttress said in a statement on Tuesday.
"The share price is to a large extent out of our control. We'll focus on growing the business, making it more profitable, and hopefully the share price will then follow," Chief Financial Officer Michael Wroe told reporters on a conference call.
The FTSE-250 company saw growth in its second-biggest market, Denmark, driven by a rise in orders and gradually increasing commission rates.