Grab shares tumble as revenue plunges on promotions

Shares of Grab skidded to their lowest ever on Thursday at US$3.09 (RM12.92), wiping off more than US$7bil (RM 29bil) from its market value.

NEW YORK: Shares in Grab tumbled 37% on Thursday after South-East Asia’s No. 1 ride-hailing and food delivery firm posted a US$1.1bil (RM4.6bil) quarterly loss and a worse-than-expected drop in revenue, hit by promotional offers and higher driver incentives.

Singapore-based Grab Holdings Ltd has poured money into incentives to attract drivers as ride-share demand recovers from pandemic lows, and also offered aggressive food-delivery promotions as people began to dine out more with the easing of Covid-19 restrictions.