Tech and online grocery giant Ocado has reported “good progress” in its interim results and increased earnings guidance.
Ocado posted reduced losses in its first half and maintained it is well-positioned for further success.
Ocado, which works with a raft of grocers internationally and has a retail joint venture with Marks & Spencer in the UK, notched up group revenue of £1.5bn in the first half to June 2.
Adjusted EBITDA rocketed 329% to £71.2m, while pre-tax losses were down to £154m from £290m.
Ocado said that underlying cash flow in the full year is now expected to improve by £150m rather than £100m,and that its technology solutions division would to achieve a “mid-teens EBITDA margin”, up from 10% or more previously.
Ocado Group chief executive Tim Steiner said: “Today’s results illustrate good progress as we support 13 of the world’s leading grocers to grow their online business with our technology.
“We have come through an unprecedented period for online grocery, with multiple years of high food inflation following a surge in demand during the pandemic. The global channel shift to online has now resumed and Ocado is uniquely well-positioned to take advantage of the opportunity.
“Our technology is delivering high levels of productivity and customer satisfaction. In the UK, Ocado Retail continues to lead the way in online grocery, and internationally we have received orders for new capacity, with a number of our partners reporting strong digital sales growth year on year.
“The success of our partners is our top priority, and we are focused on helping them execute their online strategies to deliver attractive returns from their investment in our technology. While there remains more to do, we look forward to making continued progress over the rest of the financial year and beyond, as we build a profitable, cash-generating, technology business.”
No comments yet