AO World PLC’s (LON:AO) start-up European business has reached inflection point and will improve from here on, the white goods retailer claimed today,
AO has been investing heavily to set up a European operation, which will mean another full-year loss this year to March though this will be in the middle of the expected range, said the statement.
Sales in Europe rose by 55% and AO remains on track to meet the targets set for 2021.
Annual results overall will be the middle of market forecasts after good sales in the UK over the second half.
Group turnover to March will be £796mln, up 14% year on year and slightly above the mid-point of analysts' expectations.
UK revenue was £680mln, up 8% year on year with AO.com 9% better at £606mln, but promotional spending was cut back to maintain margins in a competitive market.