GRAB Q2 Earnings Call Focuses on Fintech Profitability and Growth

GRAB Raises its 2026 Outlook

Chief financial officer Peter Oey said 2026 revenues are now expected in the range of $4.10 billion to $4.15 billion, up from $4.04 billion to $4.10 billion.

The adjusted EBITDA outlook was increased to $720 million to $740 million from $700 million to $720 million. The new ranges imply 22% to 23% revenue growth and 44% to 48% adjusted EBITDA growth.

Responding to analysts from Morgan Stanley, Citi, Barclays, JPMorgan and Macquarie, Oey cited on-demand momentum, acquired-business consolidation and foreign-exchange pressure. President and chief operating officer Alex Hungate added that the core business remains in line with the prior outlook.

Grab Converts Scale Into Operating Leverage

Chief executive officer Anthony Tan highlighted adjusted EBITDA of $168 million, up 54%, as margin expanded to 16.9% of revenues from 13.3%. This was the 18th consecutive quarter of adjusted EBITDA growth.

On-demand GMV rose 21% to $6.5 billion, or 22% in constant currency, while monthly transacting users reached a record 53.9 million. Tan said users and transactions, rather than price, led growth.

Total incentives reached $706 million. On-demand incentives rose to 10.9% of GMV as Grab supported driver earnings during elevated fuel costs and promoted affordable service tiers.

GRAB Targets Financial Services Profitability

Hungate said Financial Services remains on track for adjusted EBITDA profitability in the second half of 2026. Segment adjusted EBITDA improved to a loss of $15 million from a loss of $26 million.

Revenues increased 59% to $134 million, while the gross loan portfolio reached $2.3 billion. Excluding Superbank, the portfolio doubled year over year.

During the Q&A, Hungate said the loan book should exceed $3 billion by year-end. He also cited Superbank’s more than 7 million customers and Stash’s $5.5 billion of assets under management as added ecosystem scale.

Grab Protects Mobility Marketplace Health

Mobility GMV grew 18% to $2.214 billion, while transactions advanced 28% as affordable products reduced the average ticket. Revenues rose 12%.

Oey said Grab increased partner incentives and committed more than $7 million to fuel-support programs. Monthly active drivers increased 19%, and average driver earnings rose 4%.

A Barclays analyst asked about Indonesia’s commission caps. Hungate said the two-wheel Ojol business represents 6% of mobility GMV, remains adjusted EBITDA positive and should preserve that profile under current rules. He reiterated a second-half mobility margin range of 8.5% to 9%.

GRAB Builds Grocery, AI and Capital Flexibility

Hungate said GrabMart users grew 42% year over year, but reached only 14% of the food user base. GrabMart GMV grew at 1.7 times the rate of food deliveries.

Hungate said supermarket partnerships and an AI-powered shopping agent aim to increase recurring grocery purchases. Tan said AI interaction costs have approximately halved while monthly interactions increased tenfold.

Analysts from Morgan Stanley and Maybank asked about buyback pace. Oey said the new $750 million authorization lifts cumulative authorization since 2024 to $1.75 billion and that repurchases will remain disciplined. He also told HSBC, UBS and CIMB analysts that the Foodpanda Taiwan transaction is expected to close by year-end.

Grab’s Priorities After the Call

Management’s tone was confident but measured. Tan centered the strategy on user growth, transaction frequency and AI-enabled efficiency, while Oey emphasized cash generation and operating leverage.

Near-term priorities are to sustain on-demand growth, deliver second-half Financial Services profitability, support mobility supply through fuel volatility and integrate Superbank and Stash without weakening margin discipline.

What the Zacks Signals Show for GRAB

GRAB carries a Zacks Rank #3 (Hold), placing it outside the top two ranks emphasized by the Style Score framework. Its Value Score is D, Growth Score is F, Momentum Score is A and VGM Score is F.

The Momentum Score reflects the strongest part of the style profile, while the Value, Growth and VGM grades are weaker. Style Scores complement the Zacks Rank, with the strongest combinations generally involving a Zacks Rank #1 (Strong Buy) or #2 (Buy) and A or B scores. The Zacks Rank can change as analysts revise estimates after the results. You can see the complete list of today’s Zacks #1 Rank stocks here.

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