Grab CEO
“The primary goal of this exercise is to strategically reorganize ourselves, so that we can move faster, work smarter, and rebalance our resources across our portfolio in line with our longer term strategies,” Tan said, describing the restructure as a “painful but necessary step” for the longer term.
Grab’s shares on NASDAQ were up more than 5% in premarket trading, but declined nearly 1.5% midday.
The
Grab has been slower than other technology firms in the region in slashing jobs. The company initially said last September that it had no plans for massive job cuts.
Last year,
Although Grab reported a 130% rise in revenue to
Grab is potentially grappling with slowing growth, amid higher inflation rates and costs of living, as well as stiff competition from rivals such as GoTo. Its gross merchandise value – which calculates the total dollar value of transactions by Grab users – rose just 3% for the quarter. Spending per user was down 4% compared to the same time last year.
In February, Grab brought forward its profitability goal, expecting to break even in the final quarter of 2023. It previously expected to turn profitable in the second half of 2024.
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