H1 pretax loss 154 mln pounds vs 290 mln loss (Il Sole 24 Ore Radiocor) - London, 16 Jul - The UK online grocery retailer and technology solution provider Ocado said that in the first half, or the 26 weeks to June 2, group revenue rose 12.6% to 1.5 billion pounds driven by a 22% increase at Technology Solutions, an 11% rise at Ocado Retail, its joint venture with Marks & Spencer, and a 6% increase at Ocado Logistics.

Adjusted EBITDA jumped to 71.2 million pounds from 16.6 million, while the group reduced the reported pretax loss to 154 million pounds from 290 million.

The underlying cash outflow was of 197 million pounds, a 101 million improvement from a year ago, driven by higher revenues, increasing EBITDA margins, lower capex and good cost control. Liquidity remains strong at 1.047 billion pounds. The full year underlying cash outflow is now expected to be around 150 million pounds lower than the previous fiscal year with a clear roadmap to turn to cash positive during FY26.

Ocado sees full year Technology Solutions revenue growth of 15-20% with an increased adjusted EBITDA guidance in the mid-teens, from a previous guidance of over 10%. Ocado Logistics is expected to post stable revenue with a high single-digit percentage volume growth offset by a reduction in costs recharged to customers due to efficiency improvements. Adjusted EBITDA for the unit is seen around 30 million pounds.

Ocado Retail is expected to post mid-high single digit percentage sales growth in the full year with an adjusted EBITDA margin of around 2.5% excluding Hatfield fees.

Ocado cut is full year capital expenditure guidance to around 425 million pounds from 475 million previously driven by improved utilisation of inventory and the delay to Sobeys' fourth CFC.

AAA-Sch

(RADIOCOR) 16-07-24 08:33:47 (0165) 5 NNNN