Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Stock

Ocado Retail shares surge on strong Q3 trading update

admin by admin
September 19, 2024
in Stock
0
Ocado Retail shares surge on strong Q3 trading update
0
SHARES
8
VIEWS
Share on FacebookShare on Twitter

Investing.com — Shares of Ocado Retail (LON:OCDO) surged today after the company reported its trading update.

Ocado Retail surged 14.3% at 4:02 ET (0802 GMT).

The joint venture between Ocado Group plc and Marks & Spencer Group (LON:MKS) plc reported a 15.5% year-on-year increase in retail revenue, to £658 million for the 13 weeks to September 1. 

“We see it as a positive sign that the Retail business can accelerate growth after cycling through tough pandemic/cost of living comps for Ocado’s International partners using Ocado’s CFC solution,” said analysts at Barclays in a note. 

Volumes of total items grew by 15.4%, while the number of average weekly orders increased by 14.7% to 437,000. 

The company also saw a rise in its customer base, with active customers up 10.3% to 1.06 million compared to the same period last year. 

This is driven by improved slot availability and better service, which has helped attract and retain more customers.

Average basket value held steady at £120.97, while the number of items per basket edged up by 0.7% to 44, despite a slight decrease in average selling prices by 0.4%. 

This shows that Ocado has been able to maintain its customer appeal even as it invests in price competitiveness, underlining its commitment to delivering good value despite a grocery inflation rate of 2.0% in the UK.

Ocado Retail’s strong Q3 performance has prompted the company to upgrade its full-year revenue guidance. 

It now expects low double-digit percentage growth for FY24, an upward revision from its previous forecast of mid-high single-digit growth. 

“We expect the solid momentum of Ocado Retail to remain, supported by its ongoing investment in prices and proposition. However, we continue to see risks to its mid-term Technology Solutions targets,” said analysts at RBC Capital Markets in a note.

There is no change to the company’s FY24 EBITDA margin guidance, which remains at about 2.5%, excluding the annual Hatfield fees of £33 million.

As Ocado Retail continues to capitalize on its strategic initiatives, the company’s raised revenue outlook signals optimism about its ability to maintain strong momentum for the remainder of the year. 

With a growing customer base, improved service offerings, and the backing of its technological prowess, Ocado is well-positioned to continue capturing market share in the competitive UK grocery landscape.

This post appeared first on investing.com

Previous Post

US stock index futures soar; Fed cut, jobless claims help

Next Post

European shares advance as Fed delivers jumbo rate cut; BoE in focus

admin

admin

Next Post
European shares advance as Fed delivers jumbo rate cut; BoE in focus

European shares advance as Fed delivers jumbo rate cut; BoE in focus

Trending News

Trump’s Musk-led advisory panel to face lawsuit, Washington Post reports

Trump’s Musk-led advisory panel to face lawsuit, Washington Post reports

January 20, 2025
Robinhood taps Singapore as Coinbase continues to steal market share

Robinhood taps Singapore as Coinbase continues to steal market share

February 18, 2025
Southwest, other airlines gear up for premium, but will it be enough to lift stocks?

Southwest, other airlines gear up for premium, but will it be enough to lift stocks?

November 4, 2024
Subscribe to Insightful Word


    Recent News

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    June 6, 2025
    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    June 6, 2025
    Asian stocks end mixed: Hang Seng snaps winning streak, Nikkei jumps 0.5%

    Asian stocks end mixed: Hang Seng snaps winning streak, Nikkei jumps 0.5%

    June 6, 2025
    Starlink reportedly secures key licence in India, moves closer to launching services

    Starlink reportedly secures key licence in India, moves closer to launching services

    June 6, 2025

    Recent News

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    June 6, 2025
    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    June 6, 2025

    Latest News

    • China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll
    • FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more
    • Asian stocks end mixed: Hang Seng snaps winning streak, Nikkei jumps 0.5%

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.