Grab Holdings (NASDAQ:GRAB) shares are trading higher after the company reported strong second-quarter results and raised its FY26 sales guidance, with its midpoint above estimates.
• Grab Holdings stock is showing upward movement. What’s driving GRAB shares up?
Earnings Snapshot
EPS of six cents, exceeded the consensus of two cents, while revenue reached $997 million, slightly above estimates of $990.8 million.
Growth was primarily driven by increased transaction volumes and user expansion rather than higher pricing, reflecting stronger underlying demand.
Adjusted EBITDA increased 54% year-over-year to $168 million, marking the company’s 18th consecutive quarter of profitability expansion. Grab’s AI initiatives are also improving operational efficiency and margins.
The company announced an additional $750 million share repurchase program, bringing total authorized buybacks since 2024 to $1.75 billion.
Segment Performance
Mobility revenue increased 12% Y/Y to $191 million, aided by higher transaction volumes and resilient demand despite elevated fuel prices. Mobility GMV grew 18%, transactions increased 28%, and Mobility MTUs rose 17% Y/Y. Monthly active driver partners reached a record high, up 19% Y/Y. Adjusted EBITDA increased 16% to $191 million, with an 8.6% margin.
Deliveries revenue increased 21% Y/Y to $96 million, while adjusted EBITDA rose 53% to $96 million, with margin improving 45 basis points to 2.3%. GMV growth accelerated to 24% Y/Y on a constant currency basis, driven by stronger adoption of Food and GrabMart services.
Financial Services remained the fastest-growing segment, with revenue rising 59% Y/Y to $134 million. Quarterly loan disbursements increased 72% Y/Y to $1.24 billion, representing an annualized run rate of approximately $5 billion. Gross Loan Portfolio nearly tripled year over year to $2.32 billion from $781 million, while the underlying lending portfolio excluding Superbank doubled to $1.6 billion across GrabFin, GXS Bank, and GX Bank. The segment’s adjusted EBITDA loss narrowed to $15 million from $26 million in the prior year quarter.
Other Key Metrics
On-Demand GMV rose 21% Y/Y to $6.5 billion, or 22% on a constant currency basis, driven by higher user engagement and transaction growth.
Deliveries GMV growth accelerated to 24% Y/Y on a constant currency basis, driven by stronger performance across Food and GrabMart services.
Group Monthly Transacting Users (MTUs) reached a record 54 million across its eight operating markets.
Deliveries GrabUnlimited subscribers grew 20% year over year and accounted for 35% of Deliveries GMV, with subscribers transacting four times more, spending five times more, and showing retention rates more than double those of non-subscribers.
Outlook
The company raised its FY2026 revenue guidance to $4.10 billion–$4.15 billion from its previous outlook of $4.04 billion–$4.10 billion, compared with analyst expectations of $4.12 billion. The outlook reflects strong first-half results, the consolidation of Superbank, and the acquisition of Stash.
Management expects sequential On-Demand GMV growth in the second half of 2026.
Grab expects Financial Services to achieve adjusted EBITDA profitability in the second half of 2026 and anticipates Gross Loan Portfolio exceeding $3 billion by year-end following the Superbank consolidation and Stash acquisition.
Looking ahead, Grab sees continued growth potential from low digital adoption across Southeast Asia, increased affordability through differentiated product offerings, higher engagement frequency, and expansion of groceries, financial services, and AI capabilities.
GRAB Stock Price Activity: Grab Holdings shares were up 2.45% at $3.76 at the time of publication on Tuesday.
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