‘Our mums would be proud’: Revenue rockets at listed AO
Posted on October 15, 2020 by Jonathan Symcox
Listed electricals retailer AO World has revealed a surge in half-year revenue.
Expected revenue at the Bolton-headquartered group reached £715m, an increase of 57 per cent YoY, for the six months ended 30th September 2020.
The figure excludes sales from AO.nl, the firm’s Netherlands website, which was closed during the prior year. Revenue from its German website leapt 83%, with the company expecting it to be profitable by FY22.
AO sells products including washing machines, fridges, cookers, televisions and mobile phones. It said its UK retail business saw sales momentum continue from Q1 throughout Q2 despite the reopening of competitor bricks and mortar stores, indicating “a lasting step change in online penetration”.
Ahead of an official release later this month, profit/loss figures were not made available. Earlier this year AO’s adjusted core earnings for the year ended 31st March jumped by 53.6 per cent to £19.6m, on the back of more than £1bn sales.
“The last six months of trading have been like no other during my two decades in the business,” said founder and CEO John Roberts.
“AO was in good shape coming into this financial year and the global, structural shift in customer behaviour to online, accelerated by COVID, emphasised our strengths.
“The progress that we’ve made in Germany gives us the platform and confidence to grow. We remain excited by the opportunities ahead and ambitious to realise them.
“I would like to thank all AOers and our delivery partners right across the business who have worked safely and tirelessly both to provide exceptional service to our customers when they needed us most and to overcome the operational challenges of recent months.
“I can definitely say our mums would be proud of what the AO team is achieving.
“Whilst we remain mindful of the uncertain economic climate caused by the pandemic and Brexit, we are on track with plans and well set for our biggest ever peak trading period in the UK and Germany.”