Grab’s Q3 Mobility Revenue Jumps 22% to $873M, Acquires Infermove
Grab acquired AI robotics firm Infermove to enhance delivery automation as its Q3 mobility revenue rose 22% to $873M and deliveries revenue grew 23% to $465M, driving adjusted EBITDA up 51% year-over-year to $136M. Proposed Indonesian decree cutting ride-hailing commissions from 20% to 10% threatens margins and growth outlook.
1. From Ride-Hailing Startup to Southeast Asia Super App
Grab launched in Malaysia in 2012 to improve taxi safety and efficiency and has since expanded into 500 cities across eight countries. After acquiring regional ride-hailing operations from Uber in 2018, it integrated food delivery, grocery services and digital payments into a unified platform. By 2019, Grab’s app offered financial services—loans, insurance and digital wallets—creating an ecosystem that today serves 40 million monthly active users who frequently engage with multiple services on a single interface.
2. Strategic AI Acquisition to Automate Last-Mile Delivery
This month, Grab completed its acquisition of Infermove, a Chinese AI robotics startup founded in 2021, to strengthen first- and last-mile logistics. Infermove’s autonomous delivery robots and mixed-road driving systems will be piloted in key Southeast Asian markets, leveraging Grab’s cash reserves to fast-track robotics deployment. The deal preserves Infermove’s independent research operations under its founding team, aiming to reduce delivery costs by up to 20% over the next two years and improve average delivery times by 15 minutes per order.
3. Robust Financial Performance across Core Segments
In the third quarter, Grab achieved mobility revenue of $873 million, up 22% year-over-year, driven by a 24% rise in on-demand gross merchandise value to $5.8 billion. Deliveries—including GrabFood and GrabMart—delivered $465 million in revenue, a 23% increase supported by higher advertising yield and geographic expansion. Grab’s financial services arm is building toward a $1 billion loan portfolio by year-end 2025. Overall adjusted EBITDA reached $136 million, rising 51% from the prior year, and the company reported its first annual profit in 2025.
4. Regulatory Pressures and Market Skepticism Weigh on Valuation
Despite strong top-line growth, Grab’s share price is down around 12% year-to-date and more than 30% below its 52-week high, reflecting growing concern over a proposed Indonesian decree that would cap platform commission rates at 10% (down from 20%) and mandate full driver insurance coverage. A potential merger with a regional rival faces antitrust scrutiny, while competition from local players remains intense. Analysts’ price targets range from $6.20 to $7.00, indicating upside of roughly 40% but also factoring in execution risks, regulatory overhang and Southeast Asia’s economic volatility.