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LONDON, Dec 10 (Reuters) - British online supermarket Ocado
Group raised its core earnings forecast for 2019-20 for
the second time in two months on Thursday as the COVID-19
pandemic continued to generate huge demand for home delivery.
Ocado forecast full-year earnings before interest, tax,
depreciation and amortisation (EBITDA) of "over 70 million
pounds" ($93 million) versus a previous forecast of "over 60
million pounds". EBITDA in 2018-19 was 43.3 million pounds.
The group, whose shares have soared 82% this year, said
revenue at its retail joint venture with Marks & Spencer
rose 34.9% to 579.6 million pounds in its fourth quarter to Nov.
29.
Growth moderated from 52% in the third quarter, which Ocado
said reflected seasonality.
Average orders per week rose 3% to 360,000 and average order
size was 133 pounds.
In September the Ocado Retail venture switched from using
Waitrose to M&S products.
"Customers continue to embrace the full M&S range with the
biggest selling lines coming from everyday essentials in the M&S
fresh categories," Ocado said.
Online grocery shopping has doubled its share of the UK
market to nearly 14% since the start of the pandemic and Ocado
reckons it could reach 30% over the next few years.
($1 = 0.7497 pounds)
(Reporting by James Davey, Editing by Paul Sandle)
Marks & Spencer (MKS)
Ocado (OCDO)
