AO first quarter revenue up 6.5%
Online domestic appliance retailer, AO World, has reported that UK revenue growth was 6.5% in the three months to 30 June.
Orders rose by 13.9% while sales at AO.com grew by 11.2%.
In a statement ahead of its AGM today, the company said the growth was achieved through a period of intense competitive activity in the market, compounded by the uncertainty surrounding the general election.
AO reported a strong start to trading in July and said it was encouraged by the indications of growth in housing transactions and disposable income. It added: “We are mindful of recent volatility and intense competitive activity in the market, however, our customer loyalty continues to increase and we see this coming through in repeat business. The business is operating efficiently and we continue to expect the business model to deliver as expected for the full year.”
The company said sales are continuing to build “satisfactorily” in Germany where it has just begun its first national TV advertising campaign.
In line with its strategic growth plan for AO.de, the company has entered into a 10 year lease for a new European distribution facility in Bergheim, near Cologne, and expects to take occupation during the first half of 2017.
AO also reported that it has embarked on a new partnership with UK advertising agency Karmarama.
The company's half year results for the six months ending 30 September 2015 will be announced on 24 November 2015.
Email this article to a friend
You need to be logged in to use this feature.
Please log in here