Cabify made its first profit in Spain and posted a profit of 2,7 million euros in 2019, as can be read in the annual report of Maxi Mobility Spain, the company that leads the group's activities. The mobility company In Spain, VTC has a workforce of approximately 400 employees, currently affected by a temporary work regulation (ERTE) which reduces working hours by 50% due to the fall in activity due to the Covid-19 crisis.

The Spanish VTC company achieved a turnover of € 223 million, which represents a 54% increase in turnover compared to the 2018 figure, which was € 144,8 million. The mobility company has gradually reduced its losses in recent years and in 2018, after halving the red numbers, the negative result amounted to 1,8 million euros and presented a positive gross operating income (Ebitda) globally consolidated during the last four months of 2019.

Cabify has succeeded in increasing its market share in the nine cities in which it operates and has registered growth in all categories of vehicles that can be requested in the application (VTC, taxi and motorcycles). In that sense, the company increased its travel count by 54% in the past year, with a 35% growth in passenger numbers.

not all good news

But it is not all good news. The coronavirus crisis has taken its toll on VTC companies. In mid-March, Cabify submitted a staffing scheme file (ERTE) to all employees for 50% of their working day and salary. The total average workforce at the end of 2019 in Spain was 400 employees (nearly 1.100 worldwide). The company has already cut 2019 employees worldwide in 100 to cut costs in search of profitability.

The coronavirus crisis has also disrupted its IPO plans, so it will have to continue to fund itself through funding rounds with investors to support its expansion plans. In April 2019, Rosauro Varo sold his 2.000 VTC licenses to Cabify, becoming one of its major shareholders.

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