Ao World Share Price (AO.)

All this great positive news yet the share price is down. Welcome to the crazy world share dealing 👍

3*

AO World posted Interims this morning confirming that the Group’s turnaround continues steadily with total revenue up 6% to £512m. Operating profit was up 11% to £16m, adjusted PBT was up 30% to £17m. Basic EPS rose 18% to 1.94p. Guidance was also upgraded for FY25. Adjusted profit before tax expectations were upgraded to between £39m and £44m on Group revenue of £1.09bn to £1.13bn with growth >10% in B2C Retail and capex of c£11m....

...from WealthOracle

wealthoracle.co.uk/detailed-result-full/AO./1021

Well done AO!

AO World plc, the UK's most trusted online electrical retailer, will be hosting a live Investor Presentation with Q&A at 11.15am on Tuesday 26th November. This will cover highlights of Half Year results for the six month period to 30 September 2024, due to be announced the same day as this online event.

The presentation will be hosted by John Roberts (Founder & Chief Executive) and Mark Higgins (Group CFO).

The webinar is open to all existing and potential shareholders. Questions can be submitted during the presentation to be addressed at the end.

Link to register: https://www.equitydevelopment.co.uk/news-and-events/aoworld-investorpresentation-26november2024

Link to new research: https://www.equitydevelopment.co.uk/research/synergistic-acquisition-of-musicmagpie

AO has announced a recommended cash offer for consumer technology re-commerce leader musicMagpie. We believe this is an exciting opportunity for AO, given musicMagpie’s expertise and trusted brand in consumer technology re-commerce, with over 9m customer contacts. AO is offering 9.07p per share, equating to £10m cash and a c. £24m Enterprise Value which, in our view, represents good value at c. 0.2x EV/LTM Revenues and 3.4x EV/LTM EBITDA. Whilst we do not, at this early stage, forecast the consolidated profit impact of musicMagpie, we expect the acquisition to be value-accretive in the medium term.

AO is retaining musicMagpie’s senior management team, including its CEO and co-founder Steve Oliver and will work with the team to leverage synergies across the combined group. This will include benefits from a larger combined customer base and from enabling musicMagpie to leverage AO’s trade-in volumes of mobile phones and other electronics. AO will undertake a 6-month evaluation process post-acquisition, and we anticipate the acquisition will be value-accretive in the medium term.