Ocado Group Plc · LSE:OCDO
Ocado — H1 2025 Earnings Presentation
50 slides from Ocado's earnings presentation, Jul 17, 2025
Slide 1: Half Year 2025 Results Announcement
Half Year 2025 Results Announcement JULY 17, 2025 1
Slide 2: Forward-looking statements
Forward-looking statements Disclaimer This presentation contains oral and written statements that are or may be “forward-looking statements” with respect to certain of Ocado’s plans and its current goals and expectations relating to its future financial condition, performance and results. These forw
Slide 3: The Chairman's Overview
The Chairman’s Overview Adam Warby Chair, Ocado Group
Slide 4: Our priorities
Our priorities Turning cash flow Helping our partners win Evolving our positive in FY26, through end-to-end commercial driven by a keen focus customer fulfilment model to thrive in on sharper execution, excellence and today's market leaner operations and technology leadership disciplined capital all
Slide 5: Financial Review
Financial Review Stephen Daintith Chief Financial Officer, Ocado Group
Slide 6: 1H25 Financial progress
1H25 Financial progress1 Group revenue2 Group adjusted EBITDA* • Revenue +13% Technology Solutions +15% and Logistics +12% £674m £92m • EBITDA up £40m Technology Solutions £73m and Logistics £19m +13%1 +£40m1 • Retail 50% JV now an associate 100% sales +16% and EBITDA £33m • Underlying cash flow3 +£
Slide 7: Revenue and EBITDA up across Ocado Group
Revenue and EBITDA up across Ocado Group £M 1H25 1H24 CHANGE (%)/(£M) Revenue Technology Solutions 277 241 +15% Logistics 397 354 +12% Group 674 595 +13% Adjusted EBITDA*4 Technology Solutions 73 35 +38 Logistics 19 17 +2 Group 92 52 +40 Share of results of JV/Assocs (8) (13) +5 Depreciation and amo
Slide 8: Ocado Group – 1H25 Adjusting items
Ocado Group – 1H25 Adjusting items £M 1H25 1H24 CHANGE (£M) ORL deconsolidation 783 - +783 Jones Food deconsolidation (23) - +23 Organisational restructure (12) (1) +11 ORL adjusting items (Ocado Group 50% share) (4) (1) +3 HR and Finance system transformation (4) (6) -2 Gain on partial redemptions
Slide 9: Technology Solutions
Technology solutions > | ocado
Slide 10: Recurring revenues driving growth with cost reductions a key focus
Recurring revenues driving growth with cost reductions a key focus CHANGE £M 1H25 1H24 (%)/(£M) Revenue +15%: Average number of live • Recurring revenues +10% driven principally by the 122 112 +9% modules annualisation of PY openings and drawdowns • Non-recurring revenue of £37m incl. £17m Morrisons
Slide 11: Recurring revenue growth of 10% driven by higher average modules
Recurring revenue growth of 10% driven by higher average modules A growing base of live modules With better revenue per module Drives our recurring revenues Average live modules6 Annualised recurring revenue per module Recurring revenue # £m £m 122 112 105 55 43 43 3.6 3.7 3.3 223 203 175 62 69 68 1
Slide 12: Cost discipline and focus across all areas
Cost discipline and focus across all areas Direct operating costs to benefit from Technology spend reducing as we Support costs to reduce as we focus on a further efficiencies complete our Re:Imagined investment leaner operating model Technology Solutions direct operating costs7 Technology spend (Ca
Slide 13: Ocado Logistics
Ocado Logistics ocado
Slide 14: Ocado Logistics: consistent performance and cash generation
Ocado Logistics: consistent performance and cash generation CHANGE £M 1H25 1H24 (%)/(£M) Revenue 397 354 +12% Revenue +12%: in line with both underlying fee growth and cost recoveries from our UK partners Costs (378) (337) +41 Adjusted EBITDA*4 19 17 +2 Costs +12%: ahead of orders +11% and eaches +1
Slide 15: UK partners continue to benefit from rising labour productivity
UK partners continue to benefit from rising labour productivity OSP CFCs overall productivity UPH10 +8.1% YoY Deliveries/8hr shift (DP811) slightly higher YoY OSP CFC UPH Drops per van route (normalised for an 8-hour shift) # # 221 239 206 21.4 21.0 21.2 1H23 1H24 1H25 1H23 1H24 1H25 • Deliveries/8h
Slide 16: Ocado Retail
Ocado Retail ocado
Slide 17: Ocado Retail: strong revenue growth; underlying margin of 3.3%
Ocado Retail: strong revenue growth; underlying margin of 3.3% CHANGE £M 1H25 1H24 (%)/(£M) Revenue 1,526 1,312 +16% • Revenue +16%: strong growth in customers & frequency; UK online grocery market share +2.1ppt to 14.4% Gross profit 509 442 +68 • Gross profit +15%: increase of £67m driving operatio
Slide 18: Ocado Retail: strong customer growth & order volumes, basket dynamics stable
Ocado Retail: strong customer growth & order volumes, basket dynamics stable 1H25 1H24 CHANGE (%) • Strong growth in orders at +14.7% and average active Revenue £m 1,526 1,312 +16.3% customers across 1H25 +13.4%; 1,158,000 active customers at 1H25, +146,000 vs end FY24 avg. orders per week • Increas
Slide 19: Ocado Retail KPIs: strong customer growth, approaching design utilisation
Ocado Retail KPIs: strong customer growth, approaching design utilisation Basket items broadly stable despite Active customers continuing to show Utilisation building with capacity options increased frequency strong growth available to maintain growth trajectory Ocado.com eaches per basket Ocado.com
Slide 20: Ocado Retail: now deconsolidated
Ocado Retail: now deconsolidated £M 1H25 1H24 CHANGE (£M) Adjusted EBITDA*4 33 21 +12 Depreciation and amortisation (32) (30) +2 Net finance costs (19) (16) +3 Operating loss before adjusting items (18) (25) +7 Reported as Ocado Group's 50% share of results (9) (13) +4 • Group numbers presented on a
Slide 21: Ocado Group Cash Flow
Ocado Group Cash Flow ocado
Slide 22: EBITDA growth and lower CapEx driving cash flow improvement in 1H25
EBITDA growth and lower CapEx driving cash flow improvement in 1H25 £M 1H25 1H24 YOY £M • Adjusted EBITDA* increasing by £40m Adjusted EBITDA* 92 52 +40 to £92m • Contract liabilities driven by upfront fees Cash received from contract liabilities (upfront fees) 41 23 +18 incl. Lotte and Auchan; 1H24
Slide 23: Net cash inflows of £13m
Net cash inflows of £13m Reported cash inflow of £13m Reported cash outflow £m +£121M • Total cash inflow of £13m • £50m of the AutoStore settlement received in 1H25; final £8m in 2H25 89 (12) (6) • £89m net proceeds from new bond 13 issuance and tender of existing bonds (108) • Organisational restr
Slide 24: Ocado Group Outlook
Ocado Group Outlook ocado
Slide 25: Continued progress to turning cash flow positive during FY26
Continued progress to turning cash flow positive during FY26 Underlying cash flow2 £m Clear path to cash flow positive 1H21 2H21 1H22 2H22 1H23 2H23 1H24 2H24 1H25e 2H25e 1H26e 2H26e +2 (108) (196) (201) (175) (298) (396) (432) Underlying cash flow Underlying cash flow before MHE CapEx (547) Strong
Slide 26: Clear pathway to achieving positive cash flow during FY26
Clear pathway to achieving positive cash flow during FY26 1 Contribution 2 Technology spend and Support 3 Ocado Retail now growth costs to decline self-funding Contribution (Technology Solutions) Fixed costs16 (Technology Solutions) £m £m • No impact to cash flow targets from 1H Actuals 2H Actuals T
Slide 27: Managing our debt maturities in an orderly way
Managing our debt maturities in an orderly way Sufficient cash to trade through and to meet the remaining near term stubs and maturities Summary Net Debt Profile £m £M COUPON % FY24 1H25 P7-25 • £300m Jun-30 debt issuance in May-25 with £203m tender repurchase Cash and cash equivalents 733 746 866 £
Slide 28: FY25 guidance – a year of measured growth
FY25 guidance – a year of measured growth; on track to turn cash flow positive during FY26 REVENUE ADJUSTED EBITDA* Technology Solutions c.10% growth 20-25% EBITDA margin Ocado Logistics High mid-single digit % growth c.£30m UNDERLYING CAPITAL EXPENDITURE CASH FLOW Ocado Group c.£200m outflow c.£300
Slide 29: Key messages
Key messages Strong 1H25 financial performance Active management of our debt profile Gp. Adjusted EBITDA Able to address residual FY25-27 +£40m to £92m debt from existing liquidity Cost and capital On track to meet discipline FY25 guidance £40m annualised savings Revenue, EBITDA and Cash delivered F
Slide 30: Strategic Update
Strategic Update Tim Steiner Chief Executive Officer, Ocado Group
Slide 31: We have reached major milestones already in 2025
We have reached OSP live in South Korea with Bon Preu partnership Lotte and in Saudi Arabia, expanded to a fully automated major milestones with Panda CFC to serve Catalonia already in 2025 Shopper orders from 3rd Migration of UK shoppers party marketplace platforms from our legacy software to now s
Slide 32: Traditional way vs the Ocado way
Traditional RDC STORE PICK DELIVERY way The Ocado way DELIVERY ocado GROUP
Slide 33: Ocado Group Strategic Update
OCADO GROUP STRATEGIC UPDATE © Copyright Ocado Group 2025. All rights reserved. Note: The amounts shown are per week and inclusive of VAT
Slide 34: We can support any retailer wherever they are in their online journey
We can support any retailer wherever they are in their online journey
Slide 35: Fulfilment model comparison: automated CFC to manual pick
Automated CFC Side of store: Manual pick Manual pick Hybrid of manual in store in dark stores & automation Automated Micro FC DENSITY Low High Low to mid Low to mid Mid to high LABOUR INTENSITY High High Low Low Low* RANGE (SKUS) 10k+ <25k 20k & store range 10-15k 40k+ SALES £0 - £5m £5m - £100m £5m
Slide 36: Fulfilment solutions technology stack
Automated CFC Side of store: Manual pick Manual pick Hybrid of manual in store in dark stores & automation Automated Micro FC ISF/Manual pick ISF/Manual pick ISF/Manual pick Supply chain Supply chain software software software software software Supply chain Supply chain OGRP OGRP software software 6
Slide 37: Bon Preu
Bon Preu The challenge Growing an online business from the ground up in an evolving market. Building an online business from the ground up in a growing market The solution A strategic fulfilment journey starting with In-Store Fulfilment, growing to two dark stores. They have just announced that they
Slide 38: Coles
The challenge Coles To transition large volumes from manual fulfilment to world leading automation in one of the fastest-growing grocery ecommerce markets. Transferring large, manually fulfilled The solution volumes into world-class We have leveraged our automated CFCs, our software platform, and pa
Slide 39: Panda
Panda Growing online capabilities in a market The challenge at an early stage of ecommerce maturity Enhancing the online capabilities of a leading grocery retailer in a market still at the early stages of digital grocery adoption. The solution With a large physical store network and lower labour cos
Slide 40: Ocado Retail
Ocado Retail The challenge Enabling a pure play retailer to compete Ocado Retail is a pure play online grocer in a mature ecommerce grocery market. It wants at scale in competitive online market to continue scaling quickly, with positive economics. It also wants to maintain a customer proposition th
Slide 41: Half Year 2025 Summary
Half Year 2025 Summary Significant milestones Focus on supporting our Ramping up our sales with multiple partners, partners to drive more and commercial activity and good progress volumes through their as we look to further overall, with growth in CFCs and to further grow our partner base weekly vol
Slide 42: Ocado Group Half Year 2025 Results Announcement
OCADO GROUP HALF YEAR 2025 RESULTS ANNOUNCEMENT
Slide 43: Appendix
Appendix ocado
Slide 44: FY25 Guidance - Senior debt interest charges
FY25 Guidance - Senior debt interest charges GROSS FINANCE COSTS FOR SENIOR DEBT 1H25 FY25 GUIDANCE JUNE-251 INCOME INCOME £M COUPON CASH FLOW CASH FLOW PRINCIPAL STATEMENT STATEMENT £600m senior unsecured convertible bonds (Dec-25)* (56) 0.875% (4) (1) (5) (1) £500m senior unsecured notes (Oct-26)
Slide 45: 1H25 Interest Charges - P&L vs Cash
1H25 Interest Charges - P&L vs Cash INTEREST CHARGES 1H25 1H24 INCOME INCOME £M CASH FLOW CASH FLOW STATEMENT STATEMENT Finance income 22 17 26 20 £600m senior unsecured convertible bonds (Dec-25) (4) (1) (13) (3) £500m senior unsecured notes (Oct-26) (4) (4) (10) (10) £350m senior unsecured convert
Slide 46: Module Pipeline
Module Pipeline Period end modules 239 243 232 232 25 23 Live modules at existing sites 213 32 52 Undrawn modules at existing sites 37 41 41 168 40 Design capacity of sites in construction 37 Design capacity of ordered sites not yet under construction 141 54 60 46 82 49 46 44 60 29 49 123 119 18 111
Slide 47: Glossary
Glossary Active customers – a customer who has shopped at Ocado.com Live module – means modules that are fully installed and available within the previous 12 weeks for use by our partners Average live modules – based on average weekly live modules in Mature customer – defined as a customer who has s
Slide 48: Glossary (continued)
Glossary (continued) Ocado Retail average basket value (£) – product sales divided by Ordered modules – represent the maximum module capacity of total orders sites for which a contractual agreement has been signed with a partner and an invoice has been sent for the associated fees. Ocado Retail aver
Slide 49: Summary of footnotes
Summary of footnotes 10. Units dispatched from the CFC per variable hour worked by Erith, Andover, Purfleet, Bristol, 1. Comparisons of % changes and £m variances are made between 1H25 and 1H24 on a 26-week Bicester and Luton CFC operational personnel basis, except for liquidity, which compares the
Slide 50: Legal bits
Legal bits Kroger is a registered trademark of The Kroger Co. Bonpreu is a registered trademark of Bon Preu group. Morrisons is a registered trademark of Wm Morrison Sobeys is a registered trademark of Sobeys Inc. Supermarkets Plc. Coles is a registered trademark of Coles Supermarkets Australia Grou