AO World lifts forecast despite 'Morecambe and Wise' summer

(Sharecast News) - Electrical retailer AO World lifted full-year forecasts after a surge in interim earnings, despite what its chief executive called a "Morecambe and Wise" summer. The company said it now expected adjusted profit before tax of £39m - £44m, compared with the previous range of £36m - £41m. Interim profits for the six months to September 30 rose 30% to £17m despite a tough summer hit by lower pricing and weak demand for cooling products.

"We've had a Morecambe and Wise summer sales period; all the right volumes just not in the right categories," said CEO and founder John Roberts, referring to a famous sketch by UK comedy duo Eric Morecambe and Eric Wise.

"The wet summer weather meant we sold fewer fridges and air conditioning units and more tumble driers than we had planned. Overall, our team did a fantastic job to play this out as a satisfying score draw."

Total revenue rose 6% to £512m, with consumer sales up 13% to £382m.

Reporting by Frank Prenesti for Sharecast.com