HelloFresh to double investments in 2022 as stock dives By Reuters

HelloFresh to double investments in 2022 as stock dives

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BERLIN (Reuters) - German meal-kit operator HelloFresh plans to double its investments in production capacity, infrastructure and product development to about 450 - 550 million euros ($508.73 million to $621.78 million) in the coming year.

Speaking at HelloFresh's Capital Markets Day on Wednesday, CEO Dominik Richter said the company was responding to changes in consumer behaviour as more people work from home due to the pandemic.

To further grow its customer base, HelloFresh said it would be expanding into two to three new countries next year and would offer its HelloFresh Markets service in four more countries.

The company's shares dipped to nearly 10% at times on Wednesday after its adjusted EBITDA guidance missed expectations.

HelloFresh said on Tuesday it expects an adjusted EBITDA between 500-580 million euros in 2022, while revenue rising 20-26%.

($1 = 0.8846 euros)

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