European food delivery companies will be forced to slash their forecasts in the second half of the year as record-high inflation and rising borrowing costs take a toll on consumers, analysts at J.P. Morgan said on Monday.
The brokerage said food delivery has so far not been “stress tested” in a recession, but views the sector as highly discretionary and expects a sharp drop in orders.
The outlook comes amid Euro zone inflation touching a record 8.1 percent last month—more than four times the European Central Bank’s target—and a forecast of British households’ real disposable incomes likely falling 2.2 percent this year. That would be the largest decline since records began in the 1950s….