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.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
See an opportunity to trade?
Go long or short on more than 17,000 markets with IG.
Trade CFDs on our award-winning platform, with low spreads on indices, shares, commodities and more.
Live prices on most popular markets
- Forex
- Shares
- Indices
