Grab prepares for 'long winter' as COVID-19 hits revenue

Grab prepares for 'long winter' as COVID-19 hits revenue

grab app on phone
File photo of person using the Grab mobile app. (Screengrab: Grab)

SINGAPORE: Softbank-backed Grab is preparing for a potentially "long winter", co-founder Tan Hooi Ling said on Thursday (May 14), as the ride-hailing firm's revenue takes a hit from the COVID-19 outbreak.

The company has seen an uptick in food and parcel deliveries, but its core ride-hailing business has dropped, she said.

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Overall revenue was "lower than it used to be pre-COVID", she said. "During this time, we are preparing for the worst case scenario, which is potentially a very long winter."

The company is taking measures to be more capital efficient and conserve cash, she said.

Last month, Grab CEO Anthony Tan said the pandemic was the single biggest crisis to affect the eight-year-old company, with volumes in its ride-hailing business down by double-digit percentages in some countries.

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Source: Reuters/zl

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