Losses double at AO World but CEO remains "confident"
Bolton-based online electricals retailer AO World has grown revenues to almost £800m - but losses doubled over the course of the year.
In a trading report for the 12 months to March 31st, the company announced it had grown UK and European revenue by 13.6% to £796.8m.
Its UK arm did however see a drop in earnings from 7.4% to £22.6 million, which the retailer attributed to higher marketing costs and competitive pricing.
Pre-tax loss amounted £13.5m, compared to £7m in the previous year. On an adjusted EBITDA basis, the loss was £3.4m (£2.1m last year).
Steve Caunce (above), CEO, said: "The new financial year has started well in both the UK and Europe, with UK revenue growth returning to double-digit levels against prior year.
"Whilst we remain cautious on outlook given economic and competitive pressures on the UK electricals market we are confident of achieving our stated goals of future growth in the years ahead."
AO recently moved 220 staff to new offices in Manchester city centre.