Deliveroo made a profit in the first half of the year – Copyright AFP Alberto PIZZOLI

Deliveroo shares rose more than 10 percent on Thursday after the international food delivery app posted a net profit for the first time in a six-month period, an achievement its boss described as a “significant milestone.”

Profit after tax was £1.3 million ($1.6 million) for the first half, compared with a net loss of £83 million in the January-June period last year, as the British company continued to cut costs and revenue rose slightly.

“I am pleased with the performance we have achieved this half year,” said CEO Will Shu in an earnings announcement eleven years after the group was founded.

Deliveroo has seen a sharp increase in demand from lockdown-affected customers during the Covid pandemic and has tens of thousands of self-employed drivers – a status that continues to cause controversy.

Late last year, the UK Supreme Court ruled that Deliveroo riders were not entitled to trade union rights such as collective bargaining.

The company’s sustainability was also in question, which was further highlighted by the failed IPO in 2021.

The IPO was the largest IPO in London in a decade and valued the company at £7.6 billion.

But the company’s share price plummeted by almost a third from its IPO price of £3.90 on the day of the launch as investors questioned Deliveroo’s treatment of its self-employed drivers.

Following Thursday’s update, the share price rose 10 percent to just over £1.40.