Ex-Pets at Home chief executive Peter Pritchard join’s AO board as an independent non-executive director
Online electrical retailer AO.com posted a full-year pre-tax loss of £37million, compared with a profit of £20million for the same period last year. The group expects sales to fall go £1billion to £1.25billion in its current year, down from £1.56billion last year.The electricals specialist has also signed a new five-year contract with Homebase to supply appliances and installation and recycling services to its customers
The electricals retailer’s first foray into physical retail, AO.com’s in-store trial with Tesco, has come to an end.
In the fall of 2020, the online retailer opened five concessions within Tesco Extra stores. However, Covid lockdowns interrupted the trial, and the shop-in-shops were cordoned off as they were considered non-essential retail.
AO likely to face pressure of clarifying cashflow position
It faced a cut in credit cover by Atradius, the credit insurance division of Grupo Catalana Occidente
AO recently issued its third profit warning in three months at the end of April.
AO.com has posted a fall in sales and said it would focus on cash generation in turbulent market conditions.
AO reported that its core UK business had been “resilient” amid a tough trading environment, while its German division suffered.