Core Viewpoint - SoftBank Group, Provident Capital Partners, and Peak XV are seeking to replace GoTo Group's CEO Patrick Walujo due to a more than 40% decline in the company's market value during his tenure [1] Group 1: Leadership Changes - The move to remove Walujo comes amid speculation that GoTo is set to restart negotiations with Grab Holdings Limited, which could reshape the internet industry landscape in the region [1] Group 2: Strategic Developments - The Indonesian government is in discussions with both GoTo and Grab regarding a potential deal, with the country's sovereign wealth fund Danantara expected to participate in the merger plans [1]

Group 1 - Grab Holdings will invest $60 million in Vay Technology, a remote driving firm, leading to a more than 6% increase in Grab's shares during premarket trading [1] - The investment aims to leverage Grab's ride-hailing platform to explore opportunities in autonomous vehicles, which are anticipated to disrupt the mobility sector [1][2] - If Vay meets specific milestones, Grab plans to invest an additional $350 million within the first year, contingent on factors such as consumer revenue and regulatory approvals [2] Group 2 - Vay Technology utilizes "teledrivers" to navigate vehicles to customers, who can then self-drive the cars [3] - The company launched its first commercial service in Las Vegas in January of the previous year [3]

Core Insights - Grab Holdings Limited plans to launch autonomous robobuses in Singapore by early 2026 and is exploring retraining options for human drivers to transition into technology-focused roles [1][2]. Group 1: Autonomous Vehicle Expansion - During a quarterly earnings call, Grab's CEO Anthony Tan outlined the company's strategy for expanding its autonomous vehicle (AV) operations, including building partnerships with global AV leaders and participating in pilot programs [2][3]. - Grab successfully piloted autonomous vehicles in collaboration with WeRide and intends to make a strategic equity investment in the company next year [3]. - The company has also invested in May Mobility, a U.S.-based firm that operates commercial robotaxi services [4]. Group 2: Upskilling and Employment - Tan highlighted the emergence of new job roles for current drivers, such as remote safety drivers and data labelers, as part of Grab's strategy to balance automation with human employment [5]. Group 3: Financial Performance - Grab reported a revenue of $873 million for the quarter, reflecting a 22% year-over-year increase, with notable growth in ride-hailing (up 17% to $317 million), deliveries (up 23% to $465 million), and financial services (up 39% to $90 million) [6]. - The net income for the quarter was $17 million, slightly higher than the previous year's $15 million [6].

Core Insights - The company reported earnings growth driven by new product offerings [1] Group 1 - The CFO of the company, Peter Oey, discussed the positive impact of new product offerings on earnings [1] - The discussion took place on "Bloomberg Tech" with hosts Caroline Hyde and Ed Ludlow [1]

Core Viewpoint - Shares of Grab experienced a significant decline of 7.7% despite a strong third-quarter earnings report, indicating investor disappointment after a strong year for the stock [1][5]. Financial Performance - Grab reported a revenue growth of 21.9%, surpassing expectations, while earnings per share (EPS) of $0.01 met expectations and last year's figures [3]. - Adjusted EBITDA increased by 51% to $136 million, reflecting improved profitability and expanding margins [3][4]. - Management raised the lower end of its full-year revenue guidance to a range of $3.38 billion to $3.4 billion, while the upper end remained unchanged [4]. Market Reaction - The sell-off in Grab's stock is puzzling, as it had appreciated approximately 28% prior to the earnings release, and its valuation was considered high at over 8 times sales and over 53 times next year's earnings estimates [5]. - The broader tech sector faced pressure, with investors taking profits across AI stocks, which may have contributed to the decline in Grab's shares [2]. Investment Consideration - Grab's strong cash position, with approximately $5.3 billion in net cash, represents over 23% of its market cap, providing safety and potential for future investments [9]. - The Southeast Asian market shows promising growth prospects, making Grab an interesting option for investors seeking international exposure [7].

Core Insights - Grab Holdings Limited reported a revenue of $873 million for the quarter ended September 2025, reflecting a year-over-year increase of 21.9% [1] - The earnings per share (EPS) was $0.01, unchanged from the same quarter last year, but fell short of the consensus estimate of $0.03, resulting in a surprise of -66.67% [1] - The reported revenue was below the Zacks Consensus Estimate of $882.02 million, with a surprise of -1.02% [1] Financial Performance Metrics - On-Demand Gross Merchandise Value (GMV) reached $5.77 billion, exceeding the average estimate of $5.66 billion [4] - GMV for Deliveries was $3.73 billion, slightly above the estimated $3.65 billion [4] - GMV for Mobility stood at $2.04 billion, also surpassing the estimate of $2.02 billion [4] - Revenue from Deliveries was $465 million, marginally below the average estimate of $468.32 million [4] - Revenue from Financial Services was $90 million, slightly above the estimate of $89.6 million [4] - Revenue from Other sources was $1 million, compared to the estimate of $1.02 million [4] - Revenue from Mobility was $317 million, below the average estimate of $323.09 million [4] - Adjusted EBITDA for Deliveries was $78 million, exceeding the estimate of $73.23 million [4] - Adjusted EBITDA for Financial Services was -$28 million, worse than the estimate of -$26.2 million [4] - Adjusted EBITDA for Mobility was $181 million, slightly above the estimate of $179.35 million [4] Stock Performance - Grab's shares have returned -5% over the past month, contrasting with the Zacks S&P 500 composite's +2.1% change [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Core Insights - Grab Holdings Limited (GRAB) reported quarterly earnings of $0.01 per share, missing the Zacks Consensus Estimate of $0.03 per share, representing an earnings surprise of -66.67% [1] - The company posted revenues of $873 million for the quarter ended September 2025, which was 1.02% below the Zacks Consensus Estimate, compared to $716 million in the same quarter last year [2] - Grab shares have increased by approximately 28.6% since the beginning of the year, outperforming the S&P 500's gain of 16.5% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.03 on revenues of $951.7 million, while for the current fiscal year, the estimate is $0.05 on revenues of $3.43 billion [7] - The estimate revisions trend for Grab was favorable ahead of the earnings release, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Internet - Software industry, to which Grab belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Revenue grew 22% year-over-year to $873 million, or 17% on a constant currency basis[4] - Adjusted EBITDA reached $136 million, up 51% year-over-year from $90 million[4] - Full-year Group revenue guidance upgraded to $3.38 to $3.40 billion, reflecting 21% to 22% growth year-over-year[8] - Adjusted EBITDA guidance increased to $490 million to $500 million, representing 57% to 60% growth year-over-year[8] - Grab reported a profit of $17 million for the three months ended September 30, 2025, compared to a profit of $15 million in the same period of 2024[25] - Adjusted EBITDA for the nine months ended September 30, 2025, was $351 million, up from $216 million in the same period of 2024, representing a 62.5% increase[25] - Total Segment Adjusted EBITDA for the three months ended September 30, 2025, was $231 million, compared to $178 million in the same period of 2024, reflecting a 29.7% growth[27] - Operating profit for Q3 2025 was $27 million, compared to an operating loss of $38 million in Q3 2024[38] - Net profit for the period was $17 million, up from $15 million in Q3 2024, marking a significant recovery from a loss of $169 million in the same period last year[38] - Total comprehensive income for Q3 2025 was $10 million, compared to $146 million in Q3 2024[39] User Metrics - The number of Group MTUs (monthly transacting users) increased by 14% year-over-year to 47.7 million[5] - Monthly Transacting Users (MTUs) are a key metric for Grab, indicating the number of unique users who transact via Grab's apps[31] Financial Services - Total loan portfolio grew 65% year-over-year to $821 million, with loans disbursed increasing by 56% year-over-year to $886 million[12] - The loan portfolio in the financial services segment represents the total of current and non-current loan receivables, net of expected credit loss allowances[34] - Grab's financial services segment reported a Segment Adjusted EBITDA of $(28) million for the three months ended September 30, 2025, compared to $(26) million in the same period of 2024[27] Cash and Liquidity - Gross cash liquidity totaled $7.4 billion at the end of Q3 2025, compared to $6.1 billion in the prior year[7] - Cash and cash equivalents at the end of Q3 2025 were $3.280 billion, compared to $2.885 billion at the end of Q3 2024[45] - Grab's gross cash liquidity includes cash on hand, short-term and long-term time deposits, marketable securities, and restricted cash, which are critical for meeting short-term obligations[21] Revenue Breakdown - On-Demand GMV increased 24% year-over-year to $5.8 billion, or 20% on a constant currency basis[4] - Deliveries revenue grew 23% year-over-year to $465 million, driven by a 26% increase in Deliveries GMV[9] - Revenue for Q3 2025 reached $873 million, a 22% increase from $716 million in Q3 2024[38] Research and Development - Research and development expenses for Q3 2025 were $103 million, a slight increase from $97 million in Q3 2024[38] Future Plans - Plans announced to launch Autonomously Intelligent Ride (Ai.R) service in Singapore by early 2026, in partnership with WeRide[14] Company Operations - The company operates in over 800 cities across eight Southeast Asian countries, enhancing its market presence and user accessibility[15] Shareholder Information - The number of outstanding Class A and Class B ordinary shares increased to 4,080,408 and 4,185,629 respectively as of September 30, 2025[39] - The company issued $1.5 billion in convertible notes, which will impact reported financial results but not underlying cash flows[37] Social Responsibility - The company aims to achieve profitability while maintaining a positive social impact and reducing its environmental footprint[15]

Core Viewpoint - Grab Holdings Limited (GRAB) is anticipated to report a year-over-year increase in earnings due to higher revenues for the quarter ended September 2025, with the actual results being a significant factor influencing its near-term stock price [1][2]. Financial Expectations - The consensus estimate for Grab's quarterly earnings is $0.03 per share, reflecting a year-over-year increase of 200% [3]. - Expected revenues for the quarter are $882.02 million, which represents a 23.2% increase from the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 250%, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Grab matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with a positive reading being a strong predictor of an earnings beat [9][10]. - Grab currently holds a Zacks Rank of 2 (Buy), but the combination of a 0% Earnings ESP makes it challenging to predict an earnings beat conclusively [12]. Historical Performance - In the last reported quarter, Grab met the expected earnings of $0.01 per share, resulting in no surprise [13]. - The company has not surpassed consensus EPS estimates in any of the last four quarters [14]. Conclusion - While Grab is not positioned as a compelling earnings-beat candidate, investors should consider other factors when deciding on their investment strategy ahead of the earnings release [17].

Financial Data and Key Metrics Changes - Monthly transacting users increased by nearly 6 million year-over-year to 48 million, contributing to a 24% year-on-year increase in on-demand GMV, or 20% on a constant currency basis [4] - Group adjusted EBITDA rose 51% year-on-year to a record $136 million, marking the 15th consecutive quarter of sequential profitability improvement [4] - Adjusted free cash flow improved by $185 million year-on-year to $283 million on a trailing 12-month basis [4] Business Line Data and Key Metrics Changes - The mobility segment grew at a rate of 20%, while the delivery segment saw a growth rate of 26% [12] - Financial services revenue grew by 40%, with the loan book reaching an all-time high [12] Market Data and Key Metrics Changes - The company expects its financial services loan portfolio to exceed $1 billion by the end of 2025 [6] - The company is experiencing strong growth in Indonesia, with significant contributions from both GrabBike and GrabCar Saver users [10][11] Company Strategy and Development Direction - The company is focused on building a resilient, tech-driven platform, emphasizing accessibility, affordability, and reliability [4][5] - The strategy includes leveraging AI to unlock new growth and efficiency opportunities [6] - The company is exploring new business models, including Quick Commerce, to expand its grocery segment [44] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to drive sustainable long-term value despite macroeconomic uncertainties [36] - The company is not seeing a broad-based slowdown in consumption and believes its countercyclical strategy is effective [35] - Management expects to exit 2025 at record GMV levels and maintain profitable growth into 2026 [26] Other Important Information - The company is actively investing in autonomous vehicle technology as part of its long-term strategy [46] - The financial services segment is focused on financial inclusion, targeting underbanked and unbanked populations [55] Q&A Session Summary Question: Competitive landscape in Indonesia and growth guidance - Management highlighted strong performance in Indonesia driven by product-led growth strategies and affordability initiatives [10][11] - Guidance was raised due to strong top-line growth and disciplined cost management, with an EBITDA target of $490 million-$500 million for 2025 [12][13] Question: MTU growth demographics and future growth rates - MTU growth was driven by affordability strategies, with significant contributions from saver delivery products [20][21] - Management expects continued growth above mid to high teens into 2026, with a focus on maintaining margins [25][26] Question: Balance sheet and cash usage - The company plans to use its strong cash balance for organic growth investments, selective M&A, and potential shareholder returns [30][34] - Management noted a positive macro environment with signs of tourism recovery and no broad-based consumption slowdown [35] Question: GrabMart growth and grocery business initiatives - GrabMart is growing faster than food delivery, with initiatives like Grab More enhancing cross-selling opportunities [43][44] - The company is experimenting with Quick Commerce models to increase grocery penetration [44] Question: Autonomous vehicle investments - Investments in autonomous technology are strategic, aimed at leading adoption in Southeast Asia while collaborating with regulators [46][47] Question: Financial services growth and risk provisions - The financial services segment is on track to exceed a $1 billion loan book, with a focus on risk management and customer insights [53][55] - Management emphasized the importance of credit models in serving underbanked populations [55][56] Question: Advertising revenue and consumer incentives - Advertising revenue is expected to grow as the company attracts more advertisers, with a focus on maintaining sustainable consumer incentives [61][62] - Management noted a slight increase in driver incentives to maintain service quality amid rising demand [60] Question: Delivery margins and monetization strategies - Delivery margins are expected to improve, with a portfolio approach to managing different delivery products [70][71] - The company is exploring in-store monetization strategies to enhance traffic for food merchants [91]