HelloFresh, the German meal kit company, said its first quarter Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) plunged by 74.6%, but it delivered its highest quarterly revenue of €2.07 billion ($2.2 billion) on a big increase in average orders.
The earnings, reported on Thursday, showed its first-quarter adjusted EBITDA at €16.8 million, versus last year's €66.1 million. Adjusted EBITDA margin was 0.8%, down 2.5 percentage points from 3.3% last year.
In the quarter, HelloFresh delivered its highest ever quarterly revenue of €2.07 billion, up 2.9% from last year's €2.02 billion. At constant currency, revenue growth was 3.8%, supported by a healthy increase in average order value of 6.5% in total on a constant currency basis.
The company said it continues to capitalize on strong demand for its Ready-to-Eat or RTE offering, which delivered revenue growth of 56% in constant currency. Number of orders, meanwhile, dropped 2.6% to 31.98 million, and meals delivered fell 2% to 272.9 million.
Average order value, excluding retail, was €64.6, up 5.5%. Looking ahead for fiscal 2024, HelloFresh continues to expect 2% to 8% revenue growth in constant currency and €350 million to €400 million adjusted EBITDA.
