Grab turns profitable in Q4, raising the 2025 revenue forecast.

Singapore - Grab Holdings posted its first quarterly profit and exceeded revenue forecasts for 2024 while setting ambitious growth targets for the coming year.

The Singapore-based company reported a profit of $11 million in the fourth quarter, as revenue rose 17% to $764 million in the same period last year. 

On-demand GMV grew 20% year-over-year to $5.0 billion.

For the full year, Grab narrowed its losses to $158 million from $485 million in 2023, while revenue increased 19% to $2.8 billion, surpassing its guidance range of $2.76-$2.78 billion.

The company's adjusted EBITDA reached $97 million in the fourth quarter, improving by $61 million year-over-year. 

For the full year, adjusted EBITDA was $313 million, compared to negative $22 million in 2023.

Grab reported 43.9 million monthly transacting users in the fourth quarter, representing a 17% increase from the prior year. 

Deliveries GMV grew 19% to $3.2 billion, while Mobility GMV rose 23% to $1.8 billion.

The financial services segment showed strong performance, with revenue increasing 38% to $74 million, driven by growth in Grab's lending business. 

The loan portfolio expanded 64% year-over-year to $536 million.

Operating cash flow for 2024 was $852 million, compared to $86 million in 2023. Adjusted free cash flow was $136 million, versus negative $234 million the previous year.

Grab maintained a strong financial position with $6.1 billion in cash liquidity at year-end. 

During the quarter, the company repurchased 10.2 million shares for $37.1 million as part of its $500 million share repurchase program.

For 2025, Grab forecasts revenue between $3.33 and $3.40 billion, representing 19-22% growth in constant currency. 

The company expects adjusted EBITDA to reach $440-$470 million, indicating 41-50% year-over-year growth.