Flink: We will make a profit in 2024

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Flink: We will make a profit in 2024

Flash delivery company Flink expects to be profitable in the Netherlands by the end of next year, a year later than in its home market Germany. The delivery of groceries within minutes quickly gained popularity during the corona years, but was notoriously loss-making for a long time.

The delivery of groceries within minutes quickly gained popularity during the corona years, but was notoriously loss-making for a long time. (ANP / Berlinda van Dam)

A spokesperson for Flink, which has several thousand employees in the Netherlands, says that the average amount that customers spend per order has grown in recent years. That can help make the delivery service profitable. The company is also expanding less aggressively to new cities, while in recent years it has invested heavily in new branches.

Earlier this year, CEO and founder Oliver Merkel told the Financial Times (FT) that Flink should be profitable by the end of 2023 in Germany, the company’s most important market. Last year, the company as a whole achieved a turnover of 400 million euros, he said.

Competitors suffered a lot last year from investors who became more cautious with new capital injections due to rising interest rates. Because many flash delivery companies spent more than they received for their rapid expansion, they always needed new capital. Eventually, the Turkish grocery delivery company Getir bought its German competitor Gorillas. According to FT, the company paid less than half of the $3 billion Gorillas was valued at in 2021. A British counterpart, Zapp, left the Netherlands last year because of the large losses and fired all employees.

In the Netherlands, Flink is active in more than forty municipalities, while Getir is active in fifteen cities. Flink does not want to say how high the turnover is in the Netherlands, but according to the knowledge platform for e-commerce Twinkle, the revenues here rose to 53 million euros in 2021.


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