Grab's operating profit rose 186 percent to $19 million in the second quarter, driven by a 22 percent year-on-year revenue increase to $997 million. The Southeast Asian ride-hailing and delivery firm announced the results Tuesday, exceeding prior expectations.
Shares rose 4.86 percent in extended trading following the announcement.
CFO Peter Oey said artificial intelligence is now central to Grab's operations. He told CNBC's Squawk Box Asia that AI helps the company ship products three times faster, cutting nearly 40,000 hours of sales inefficiencies and improving margins.
Grab recorded a 28 percent year-on-year jump in rides during the second quarter—one of the highest growth rates the company has seen. Oey said consumer demand across Southeast Asia remained strong through July.
Grab raised its full-year revenue outlook to $4.10 billion to $4.15 billion, up from a prior forecast of $4.04 billion to $4.10 billion. It also lifted full-year adjusted EBITDA guidance to $720 million to $740 million, from $700 million to $720 million.
Oey said the company's financial services segment has reached an inflection point and represents a growing revenue stream.
Grab is working with regulators to complete its acquisition of Delivery Hero's foodpanda business in Taiwan and expects to close the deal in the second half of this year. After closing, the company plans to introduce its existing Southeast Asian products and services to the Taiwan market.
