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Great clip algolfire thx for posting.

The most interesting thing for me is this is what it looks like now, what will it look like in 5/10 years time.. I think Ocado's system will become more and more efficient as they are learning from their robotic hives every day. Grocers that are manual picking will underperform online grocery metrics to a greater and greater degree as time goes on. The penny will drop and many grocers will sign up to Ocado's system in order to catch up with the wider industry development.

Great stuff casapinos, I will get back and elaborate on your post soon.

Best of luck in the future OWLS. We will miss your wise words but for now twit twoo to you.

England can't blow this chance can they? England to win I think and a nice boost to UK grocery spending to follow in the build up to the final and afterwards in the celebrations..

This article is from 2018, Carrefour was still supplying Ocado then ...

https://www.retaildetail.eu/en/news/food/ocado-technology-company-disguised-online-supermarket

Ocado are pioneering online grocery technology. They have the most scalable, accurate, profitable system for grocers to adopt. More and adopting it too. The world's 10th largest grocer, joined the club yesterday to join the 8 other large grocery chains who have put complete trust in Ocado.

Currently we are in the early phase of the online grocery revolution. As more grocers join Ocado's model costs reduce, CFC build reduces and Ocado gains a greater network from which to learn and further it's technology.

Looking good for topping the FTSE 100 risers today.

Jimmy, Ocado and football's coming home :o)

Groupe Auchun, as one of the top retailers in the world, partners with those companies it places trust in. You previously said there was no way new contracts would be signed by Ocado until the legal dispute was over. Well yesterday they signed a new contract and are exploring further contracts with the same company in other countries.

Ocado group is expanding its powered CFC network further across the globe. Expanding deeper into technology, leaving it's retail chrysalis further behind.

Yes, it depends on Groupe Auchans appetite for expansion. Regardless they are a superb partner to have, the 10th biggest retailer in the world. If Auchan are impressed by Ocado surely there will be further opportunities for more contracts in Auchan priority countries.

I think there's a strong case for an alliance with a cash rich partner keen on ramping up their online grocery tech exposure. An alliance whereby the partner acquires x amount of new shares in Ocado and Ocado receive the cash in exchange. Such a partner could be Uber, Microsoft, Google. Theres a long list of big tech companies that would be keen to gaining closer collaboration with Ocado.

The big cash injection could then allow the Ocado powered CFC network to be ramped up quicker and cheaper around the world. Tapping into the great market opportunities that are currently there.

Softbank recently invested in The Hut group in the way that I've outlined above. Ocado cannot reasonably approach shareholders for a cash injection for at least the next 6 months so issuing new shares is a way of getting a big cash injection fast to grow the business further.

Hope you get a hole in one Jimmy.

"The BOD were irresponsible to announce the lasted deal or even to pursue it whilst the lawsuit is pending"

Ocado were irresponsible in signing a deal with groupe Auchan, the 10th largest grocery company in the world? Complete garbage from Pursestrings..

Groupe Auchan would have carried out extensive due diligence on Ocado's tech prior to contract signing. Their commitment to Ocado is great vindication of Ocado's strategy and of their ownership of their technology.

No offence taken Jimmy. Ocado is a very complex company to work out. Hope you can post some research/insight/links to info on Ocado to help our discussion. If we all simply bemoaned Ocado's share prices movements then we do not learn..

Thanks for that AllAtSea,

Part of the market disappointment is that groupe Auchan only have 3.4% of the current Spanish grocery market.

See Spanish grocery stats here

https://www.statista.com/statistics/535392/grocery-market-share-spain/

However as your link points out groupe Auchan operate in many different countries and are a superb partner for Ocado to have. The tough part, as always with Ocado is we as shareholders do not know the terms of this deal - or any other overseas deal Ocado has signed.

If groupe Auchan intend to use Ocado's tech to maintain their 3.4% Spanish grocery market share then that's a decent deal but a little underwhelming. If though the terms of the deal with Ocado outline a rapid scale up of their online operations in Spain so they can attempt to double or more their market share then Ocado have signed a magnificent deal.

Overall I am positivite regarding the deal, it's future possibilities and the belief that some of the extra costs in the half year results are bumps in the road during extraordinary times rather than a sign of ongoing issues.

If you look at groupe Auchuns operations it looks like Italy or Russia would be the next focus for them if they wanted another Ocado country exclusive contract.

https://en.m.wikipedia.org/wiki/Auchan

Operations tab in the above link gives Auchun store numbers in the countries it operates in. Auchun has sold out of China so ignore those figures.

Agreed Neverselling,

As more CFCs are built their build cost are lowered and Ocado gain knowledge and expertise to build them faster. In the results presentation today Ocado outlined that they are driving down the cost of their new 500 series robots. They can do this as they are increasing the volume of these robot purchases producing economies of scale.

The country exclusive contracts that Ocado sign are tied to a certain number of CFCs being commissioned otherwise the company lose the exclusivity and Ocado can firm partnerships with others in the country. It's very important as the CFCs are not out that costs do not creep up, there was a bit of that in the results today.

Brutal overall market conditions today. We will need to few more days to see how the market has digested these results and the new contract today. Auchan joining the long list of many of the world's top grocers who have carried out extensive due diligence on Ocado's tech and have happily signed up to the Ocado solution platform.

Ocado: Peel Hunt reiterates buy with a target price of 2,800p.

The share price is up for the day now. Relax, have a cup of tea and some Ocado shortbread.

I have significantly more invested in Ocado than you do however I am still very patient. My patience is derived from a deep understanding of the company through years of research.

Investing is all about patience Jimmy. If yours is exhausted re this share then you really should sell. Personally I still have great patience for the rewards I can see that Ocado can deliver in years to come...

Agreed chilting.

After a major results release many brokers adjust their ratings and price targets for Ocados share price. Wouldn't surprise me if downward pressure is coming from a broker price reduction or negative comment today. However until the other brokers release their latest guidance the whole appraisal of today's results is unknown.

There are always wide variations of the evaluation of Ocado's worth. Some see it and value it highly, some see little value in the business. This will still be the case for many years to come.

Disappointing numbers in the half year results. Retail growth, EBITDA, nternational revenue all lower than expected. Kindred systems underperformance also.

Superb Spain contract on the flip side though. Huge potential for growth in Spain and throughout the Auchun group.

Very insightful results presentation from Ocado as always. 2 takeaways that stuck out for me were that Tim expects that when Kroger's Ocado powered infrastructure is fully built out they will have over 20 CFCs. Tim also said that whilst Sobeys have 4 CFCs they are working in he can see them ordering further CFCs as online grocery adoption in Canada increases.

Continued hold for me. Much to look forward to as the world's largest grocery chains fight to sign up exclusive rights to Ocado's tech around the world.

Great points casapinos, I missed that statement re looking at exploring other geographies, thanks

Should read "Disappointing half year results today, share price supported by the superb new contract"

https://webcasting.brrmedia.co.uk/broadcast/60b9f08bcc74370299db8222

Join the above webcast at 9.30am today if anyone's interested in Tim's explanations of today's results. Usually there are great additional insights to be gained. I will be watching looking for info.

Disappointing half year results today, share price held up by the superb new contract

Best to all