Trading Statement

RNS Number : 4225V

Ocado Group PLC

12 January 2012

 



12 January 2012

Ocado Group plc

Update on Christmas Trading and Q4 2011

Financial Highlights

Christmas Trading

·      In the seven trading days to Christmas gross sales were up 23.8% from 2010 at £18.7m

·      In the four trading weeks to 25 December 2011 customer orders were up 21.8% from 2010 at 450,700

·      In the four trading weeks to 25 December 2011 gross sales were up 16.0% from 2010 at £59.0m

Q4 2011

·      Gross Sales increased 10.8% to £198.2m for the 16 weeks to 27 November 2011 (2010: £178.9m)

·      Average orders per week for the 16 weeks to 27 November 2011 increased by 13.5% to 113,200 from 99,700 in equivalent period in 2010

·      Average order size for the 16 weeks to 27 November 2011 was £109.4 (£112.1 in equivalent period in 2010)

FY 2011

·      Gross Sales increased 16.6% to £642.8m for the 52 weeks to 27 November 2011 (2010: £551.1m)

Operational Update

·      Operational performance during the Christmas week returned towards previous high levels, with 97% of orders on time or early (94% 2010) and 97% of items delivered exactly as ordered (96% 2010)

·      Larger Christmas orders and a pause in site development works at the Hatfield Customer Fulfilment Centre ("CFC 1") allowed for increased operational capacity and improved customer service metrics

·      CFC1 development works will continue throughout the rest of the first quarter and we expect year on year growth for the quarter to be in line with the fourth quarter of financial year 2011

Christmas Highlights

·      Ocado's own label sales were up over 88% in the four trading weeks to 25 December 2011

·      Other range additions also performed exceptionally well; sales of Daylesford Organic increased by over 150% in the period

·      Seasonal non-food specialities also featured; Ocado's Christmas cracker sales would run 133 times round the Olympic Stadium athletics track

Tim Steiner, Chief Executive Officer of Ocado, said:

"We are pleased with the performance of the CFC during the four weeks to Christmas as demonstrated by the 21.8% increase in orders. Our staff went the extra mile to ensure customers received deliveries on time and in full. Looking ahead, we remain focused on delivering growth in orders at our Hatfield warehouse while maintaining high customer service standards. The welcome absence of snow allowed us to release additional delivery slots to customers in the days leading up to Christmas."

Andrew Bracey, Chief Financial Officer of Ocado, said:

"This was encouraging trading for December as a whole and particularly the seven days to Christmas, with sales growth of 23.8%.  This was accompanied by good operational performance throughout the trading period. In giving guidance for the quarter, we have taken account of likely customer behaviour against the backdrop of the prevailing economic conditions and forecasts; we remain optimistic about continued sales growth and believe Ocado will remain a strong performer in the sector."

The Preliminary Results Announcement will be made on 31 January 2012.

Contacts

·      David Hardiman-Evans, Head of Investor Relations on 01707 382 260 today and 01707 228 000

·      Ben Lovett, Senior Communications Manager on 01707 227 943

·      M Communications on 01707 382 260 today and 020 7920 2330

Notes

1.     The figures used in this announcement are as yet unaudited

2.     A copy of this trading update is available on www.ocadogroup.com

Cautionary statement

Certain statements made in this announcement are forward-looking statements. Such statements are based on current expectations and assumptions and are subject to a number of risks and uncertainties that could cause actual events or results to differ materially from any expected future events or results express or implied in these forward-looking statements. Persons receiving this announcement should not place undue reliance on forward-looking statements. Unless otherwise required by applicable law, regulation or accounting standard, Ocado does not undertake to update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.

 

END

 

 

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