Ocado Group has announced a 7.2% increase in retail revenue, along with positive growth in customer numbers and basket values. The online grocer and retail-technology specialist achieved revenue of £569.6 million ($705.4 million) for the 13-week period ending August 27th, up from £531.5 million the previous year. This growth was driven by a 1.9% rise in average orders per week.
In particular, the third quarter witnessed faster revenue expansion compared to the first half, with the company returning to positive volume growth in the final month of the quarter.
Ocado’s active customer base also saw a 1.5% year-on-year increase, reaching 961,000, while the average value of consumer baskets grew by 4.2%.
Despite a significant 8.4% rise in average selling prices, Ocado emphasized that this figure still remained considerably lower than market inflation.
Moving forward, the company expressed positive momentum leading into the fourth quarter and maintained its full-year guidance unchanged.
Ocado predicts mid-single-digit revenue growth for fiscal year 2023 and anticipates marginally positive earnings before interest, taxes, depreciation, and amortization (EBITDA). Although the first half recorded a small EBITDA loss of £2.5 million, growth is expected in the second half due to increased volume.