Telegraph
Just Eat has blamed the spring sunshine for missing its growth targets as the food delivery company comes under fresh pressure from rivals Uber Eats and Deliveroo.
The FTSE 100 company said takeaway orders increased by 21pc in the first three months of the year, but an unusually warm start to the year was blamed for the stalling UK orders, which increased by just 7.4pc. UK growth slowed from 13pc in the final quarter of 2018, analysts had expected closer to 9.6pc.
Just Eat said growth was impacted by “the unseasonably warm weather in February; and Easter falling entirely in [the second quarter] this year”.
Just Eat reported revenues were up 28pc compared to the previous year, to £228m.
Interim chief executive Peter Duffy admitted the company saw “softer UK order growth” but was making good progress. Just Eat said it still expected to see improved UK growth over the course of the year.
But analyst firm Liberum said there would still be concerns that rivals like US giant Uber Eats and London headquartered Deliveroo were nibbling at Just Eat's market share.
Just Eat shares dropped more than 5pc in early trading before recovering slightly.
It comes as Uber Eats continues to dramatically step up its investment in its restaurant delivery business, securing new deals to deliver from coffee chain Starbucks. Uber now works with more than 10,000 restaurants in the UK and expects this to double in 2019.
Both Uber and Deliveroo have also launched so-called "virtual restaurants", providing new menus to existing restaurants on top of their staple fare.
Just Eat has been forced to deal with a rebellion of activist shareholders in recent months, with activist fund Cat Rock Capital pushing for a revamped strategy.
Just Eat said it expected to secure between £1bn and £1.1bn in revenues in 2019. It is still hunting for a new chief executive after former boss Peter Plumb stepped down earlier this year.
