Delivery Hero raised its 2026 financial outlook on Thursday, signaling stronger operating momentum as demand for online food delivery improves and profitability gains traction. The upgrade adds a new dimension to the German company’s ongoing takeover process with Uber, as stronger standalone performance could influence how the market assesses the proposed transaction and its valuation.

Stronger Demand Supports a Higher Growth Outlook

Delivery Hero now expects gross merchandise value, or GMV, to grow between 9% and 11% in 2026, compared with its previous forecast of 8% to 10%. The company’s GMV measures the total value of goods sold through its marketplace and provides an important indicator of underlying platform activity. Analysts surveyed by Delivery Hero had expected annual GMV growth of approximately 9.1%, placing the revised guidance toward the upper end of market expectations.

The upgrade indicates that demand has strengthened sufficiently for management to raise expectations despite continuing regional pressures. Berenberg analysts pointed to easing discounting among competitors and Delivery Hero’s continued investment in its platforms as important factors behind the stronger performance. At the same time, the company continues to face pressure in markets including South Korea and the Middle East and North Africa, highlighting the uneven nature of its geographic growth.

Profitability Becomes a Larger Part of the Story

Delivery Hero’s first-half results also showed improvement in profitability. Adjusted earnings before interest, taxes, depreciation and amortisation rose 3.9% to €427 million, exceeding the €396 million expected by analysts. Management also highlighted a significant improvement in cash generation, suggesting that stronger marketplace activity is increasingly translating into financial performance rather than being driven solely by promotional spending.

This shift is strategically relevant for the company because profitability and cash generation are central considerations in evaluating the sustainability of its business model. Finance chief Marie-Anne Popp said the first-half performance provided confidence to raise guidance across the company’s key metrics, reinforcing the view that operational momentum was already improving before Uber’s latest approach.

Uber Deal Adds a Strategic Valuation Question

The improved outlook comes against the backdrop of Uber’s proposed acquisition of Delivery Hero. The German company said it would continue operating independently until the transaction closes, which is currently expected in the second half of 2027. Its shares rose 1.3% in early Frankfurt trading following the guidance upgrade, indicating that investors responded positively to the stronger operating picture.

The takeover process could become more complex if Delivery Hero continues to outperform its previous expectations. Berenberg analysts noted that the company’s shares were trading at a discount to Uber’s offer price and said they did not rule out the possibility of improved terms over time. However, the eventual valuation will depend on the transaction process, regulatory considerations, operating performance and broader conditions in the European technology and consumer-services markets.

Going forward, investors will be watching whether Delivery Hero can sustain the acceleration in GMV while continuing to improve profitability and cash generation. The performance of its major regional businesses, competitive discounting and the progress of the Uber transaction will remain important variables. A sustained improvement in operating metrics could strengthen Delivery Hero’s negotiating position, while renewed pressure on demand or regional profitability could complicate the company’s outlook before the proposed transaction reaches completion.