Revenue passes £1.3bn at online grocery
British online grocery Ocado has reported group revenue of £1.4bn (€1.6bn) for its financial year 2017, a 12.7pc increase year-on-year.
Group earnings before interest, taxation, depreciation, and amortisation were £84m, a flat performance year-on-year, according to the group’s financial results.
"The last twelve months have been transformational for Ocado," Tim Steiner, chief executive of Ocado, said.
"We have primed our Ocado Solutions business for growth... Looking ahead, we are confident that we will be able to do further deals with the momentum of new signings building over time," Mr Steiner said.
Despite the group’s strong revenue, the group posted a loss after tax of £500,000 for the 12 month period.
During the year, the company, which last month announced that it is to partner with Canada's Sobeys to develop an online grocery business in Canada, saw the number of its average customers increase by 11pc to 645,000 people.
Total order volumes grew by 14pc to an average of 263,000 orders per week.
However the average Ocado basket value declined slightly to £107, impacted by continued uptake of Ocado Smart Pass, and the ongoing trend of ordering on mobile phones, resulting in customers ordering slightly smaller baskets more frequently, the company said.
Looking forwards, assuming economic conditions remain broadly stable, Ocado said it was confident in achieving revenue growth in its retail business of between 10-15pc in the 2018 financial year.
The company went on to say that it anticipated that total capital expenditure in financial year 2018 would be approximately £210m, which would be used to increase the company’s capacity and further invest in its platform.