Ocado, the online grocery retailer, has announced it is expected to report its first ever profit in its annual results this week as sales almost reach £1 billion.
During the last three months of 2014, Ocado saw a good trading period which City experts believe this is enough to get the company into the black. An analyst from broker Jefferies has marked a £4 million in pre-tax profits on sales of £945.8 million, however broker Numis has reported they think Ocado could make profits of as much as £11.2 million in the financial year which ends on 1st December.
Despite upcoming difficulties with the 2010 supply agreement with Waitrose, Ocado announced it will open a fourth distribution centre in the south east.
The company said it had entered into an agreement to develop a new “customer fulfilment centre” in Erith, South East London. Ocado expects the new centre will be open for business in 2017. The company publishes its financial results on Wednesday. Tim Steiner, the chief executive, has called the centres the “world’s biggest grocery stores”.
