LONDON, Jan 16 (Reuters) - British online grocer Ocado posted gross sales growth of 21.3 percent in the sixweeks to Jan. 5, reflecting strong trading in the seven days upto Christmas.
The firm, whose range includes products supplied by upmarketgrocer Waitrose, said on Thursday it made gross salesof 111.1 million pounds ($181.7 million) in the six weeks toJan. 5, up from 91.6 million pounds in the same period lastyear.
Gross sales for the 16 weeks to 1 December 2013, the fiscalfourth quarter of its 2012-13 financial year, were up 20.1percent to 271.0 million pounds, the company said, and averageorders per week rose 19.1 percent to 151,743, while averageorder size nudged up 0.8 percent to 111.6 pounds.
"While we are encouraged by this current trading, theretail environment remains both challenging and competitive,with consumer sentiment subdued, and we expect to continuegrowing broadly in line with, or slightly ahead of, the market,"said Chief Executive Tim Steiner.
Britain's traditional supermarkets are seeing little, ifany, growth in sales at their big stores, but the online grocerymarket is growing strongly.
Internet grocery sales in Britain over the Christmas/NewYear period grew 22 percent year-on-year with 15 percent ofBritish households placing orders, market researcher KantarWorldpanel said on Tuesday.
Shares in Ocado have risen over five-fold in the last yearon the back of the firm's 200 million pounds-plus, 25-year dealwith Morrisons, Britain's No. 4 grocer, to provide itsonline grocery operation, and on hopes it could do more dealsoverseas.
The firm has not made an annual pretax profit since it wasfounded in 2000 by three former Goldman Sachs bankers but theMorrisons deal has transformed its prospects.
Morrisons.com made its first deliveries on schedule on Jan.10.
Shares in Ocado were trading down 2 percent at 512 pence at0806 GMT on Thursday, valuing the business at about 3 billionpounds.