Just Eat CEO steps down after tough 2018
The food delivery company announced that its CEO has stepped down after serving only 16 months at the helm.
Just Eat CEO Peter Plumb has stepped down from his position just 16 months after joining the company, with the food delivery website seeing its share price fall as much as 18% in the last 12 months and dropping out of the FTSE 100 index in December.
Plumb joined the company from MoneySavingExpert.com back in September 2017 and oversaw a major overhaul of Just Eat’s technology with the aim of helping the business keep pace with rivals including Deliveroo and Uber Eats.
‘The Board would like to thank Peter Plumb for setting Just Eat on a new course which better places it to address a much larger and rapidly expanding market. We wish him well for the future,’ Just Eat Chairman Mike Evans said in a statement.
‘Peter Duffy and the senior leadership team will continue to drive the execution of our strategy, which has the full backing of the Board,’ he added.
Transformative 2018 for Just Eat
In recent trading update the company admitted that 2018 had been a transformative year, with a major investment drive implemented by Plumb causing earnings growth to slow and its share price to struggle.
The company expects to report full year 2018 revenues of around £780 million and an underlying EBITDA in the range of £172 million - £174 million.
‘2018 was another year of strong growth for the group,’ Plumb said. ‘The business is in good health, and now is the right time for me to step aside and make way for a new leader for the next exciting wave of growth.’
Just Eat expects stronger 2019
This year Just Eat has already shown signs of improvement, with its share price climbing more than 20% from £5.35 levels in early December to around £6.50 levels as of 2:45pm GMT on Monday.
As the company moves further into 2019, it plans to leverage improve revenue growth and improve EBITDA margins year-on-year, with the business anticipating the first full year report of its Canadian unit, SkipTheDishes later this year.
Meanwhile, in Latin America Just Eat’s subsidiary iFood is making further penetration into the £26 billion takeaway market, with major strides taken in growth markets like Brazil and Mexico.
Just Eat expects to report full year 2019 revenue of more than £1 billion and underlying EBITDA in the range of £185 million - £205 million.
The Group will provide further detail on its plans at its full year 2018 results on 6 March 2019.
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