AO World full year profit to be at top end of expectations
AO World has said its full year pre-tax profit will come in at the top end of expectations.
Having grown faster than sales at around 30%, its adjusted pre-tax profit is expected to be around the top end of electricals retailer’s previously upgraded guidance range of £39 million to £44 million in the 12 months to 31 March 2025.
In addition, AO expects its B2C retail revenues to increase by around 12% year-on-year and like-for-like revenue to rise by around 7% to £1.1 billion.
John Roberts, AO’s chief executive and founder, said: “Our strong performance shows that our model is working.
“With a globally leading Trustpilot score of 4.9 from almost 750,000 reviews, and AO Five Star membership continuing to grow strongly, we’re cementing our position as the most trusted electrical retailer and are increasing our frequency and share of wallet with customers.
“AO is back to being a highly efficient growth machine; we are reaping the rewards from the execution of our strategy and 25 years of unwavering obsession with amazing customer service.”
Following its purchase of Music Magpie in December, AO said the post-acquisition performance of the business is expected to contribute around £30 million of revenue and a negligible loss to the FY25 results.
Looking ahead to the new financial year, AO is expecting B2C retail to deliver another year of double-digit revenue growth and other revenue categories to be broadly flat.
Meanwhile, the new year’s pre-tax profit is expected to continue to grow faster than sales.
AO has also announced that its chief financial officer Mark Higgins has assumed the additional role of chief operating officer in recognition of the way he and Roberts have been running the business for some time.
