AO World full year losses widen as warns of UK growth slowdown

Online electrical retailer AO World saw full year pre-tax losses widened to £7m from £6.7m as it warned of a “significant” slowdown in UK first quarter growth.

Full year revenues increased 17% to £701m as its UK and Continental European businesses grew sales, but the company said the “challenging” trading environment seen in the second half of the UK financial year had continued.

Group adjusted losses before interest, tax, depreciation and amortisation were cut 46.2% to £2.1m, while the group's operating loss increased to £12m from £10.6m reflecting further trading losses incurred in Germany and the Netherlands

“In the second half of the year, trading in the UK became more challenging as we began to feel the impacts of dampening consumer confidence following the UK's vote to leave the EU, subsequent price inflation and a slow-down in the UK housing market,” AO said.