Online retailer Ocado’s revenue growth slows
UK online supermarket group Ocado has reported a 10.8% rise in retail revenue in its fourth quarter trading update.
The firm, which is a joint venture between Ocado and Marks & Spencer, said it took £429.1m in the 13 weeks to 1 December, compared with £387.2m for the same time last year.
However, although the figure was in line with the firm’s guidance, it came in lower than the previous quarter’s growth of 11.4%
"I am pleased to report further progress in bringing the Ocado offer to an ever increasing number of customers in the UK”, Melanie Smith, Ocado Retail's Chief Executive Officer, said.
“Another strong quarter for customer orders means that we remain the fastest growing grocer in the country. The collaboration between M&S and Ocado Group is working well.
“We have made good progress preparing for switchover date in September 2020, when the M&S food range will be available online for the first time.
“We are also planning fresh capacity, to offer customers more availability, and have new customer fulfilment facilities in Bristol and Purfleet, and a rebuilt state of the art facility at Andover, on the way.
“As a team, we could not be more excited".
Investors seemed to remain confident in the firm’s long term plan, though, as Ocado’s shares, which are traded on the London Stock Exchange, were about 1% higher at £12.09 on Thursday morning.