The ride-hailing large’s inventory plummeted as a lot as 37% in New York after reporting disappointing earnings.
Seize shares crash practically 40% after posting a $1 billion loss
It posted income of $122 million for the fourth quarter, down 44% from the earlier 12 months because the agency mentioned it had “preemptively invested to develop” its variety of drivers.
Seize’s inventory was down 0.9% in after-hours commerce on Thursday, at about $3.28.
The slide got here three months after the agency’s debut on the Nasdaq, the most important ever on Wall Avenue by a Southeast Asian firm.
Seize (GRAB) went public in December by merging with a special-purpose acquisition firm, or SPAC. The corporate raised $4.5 billion within the deal, and was valued at practically $40 billion.
In distinction, the corporate is now value about $12.3 billion based mostly on its present market capitalization.
Seize was based in 2012, and shortly soared to turn out to be Southeast Asia’s most useful non-public firm earlier than its IPO.
It acquired Uber’s Southeast Asia enterprise in 2018, and has since expanded into a wide range of different providers, together with meals supply, digital funds and even monetary providers.
Lately, the agency has forged itself as a “tremendous app,” letting customers do every little thing from reserving rides to taking out insurance coverage and loans. About 24 million folks use the app every month to make a transaction, throughout 480 cities in eight international locations as of 2021, Seize mentioned in its newest earnings report.
There have been some vivid spots on Thursday: The corporate’s full-year income for 2021 surged 44% year-on-year to $675 million, due to a leap in deliveries and monetary providers.
And regardless of the sizable loss, Seize “maintained class management throughout all our core verticals,” Chief Monetary Officer Peter Oey mentioned in an announcement.
“We stay laser targeted on our path to profitability and can proceed to enhance our unit economics,” he added.
