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Investing.com -- HelloFresh SE (TG:HFGG) on Wednesday reported first quarter revenue of approximately €1.7 billion, down 7.7% YoY in constant currency, beating analyst expectations by 1%.
The meal kit provider posted adjusted EBITDA of €24 million, exceeding consensus estimates by 12.6%, though down from €58 million in the prior-year period.
The company’s revenue decline showed continued improvement for the fifth consecutive quarter, with meal kit revenue down 8.5% YoY in constant currency compared to a 14.5% decline in the first quarter of 2025.
The majority of the adjusted EBITDA decline was attributed to approximately €25 million in one-off costs from winter storms that disrupted logistics and operations. Average order value increased 4.2% YoY in constant currency to €71, reflecting the company’s strategic shift toward higher-value customer cohorts.
"High value customer cohorts demonstrate improved retention and higher ordering frequency after experiencing the new product," said CEO Dominik Richter. "This improves satisfaction, loyalty, and drives long-term profitable growth. We are confident in this strategy and will continue to invest throughout the year and across all markets."
The ready-to-eat product category declined 6.9% YoY in constant currency, though the segment showed double-digit growth outside the United States. The company opened a new Factor Europe production facility in Germany during the quarter to support future regional expansion.
HelloFresh reaffirmed its full-year 2026 outlook, projecting revenue to decline 3% to 6% in constant currency. The company maintained its adjusted EBITDA guidance of €375 million to €425 million in constant currency, with the midpoint slightly above analyst consensus. The meal kit segment achieved a 9% adjusted EBITDA margin, compared to 11.4% in the prior-year quarter.
