Ocado actually makes a profit
Here's a retail industry shocker - Ocado is no longer in debt since it made a lucrative multi million pound deal with Morrisons. Famously, the delivery company has never made a profit in almost FIFTEEN YEARS of existence, but thanks to the deal, it’s now reported pre-tax profits of £7.5m.
In an attempt to
waste use the money, CEO Tim Steiner has announced plans to open a high tech, super whizzy warehouse to fulfil orders, based in Andover, now forever known as the birthplace of the Barclays poo.
The deal with Morrisons is helping Ocado out of its tightest spot yet – last year it posted a loss of £3.8m, and it has warned that there’ll be slow growth for online sales as the grocery market is ‘subdued’.
(Unless you’re actually successful, like Aldi and Lidl.)
Shares in Ocado have also fallen by 4.7%. But with Morrisons on their side - which isn’t struggling AT ALL – they’ll be fine. Won’t they?