Posts tagged 'Ocado'

hmmm, Morrison

The strategic rationale for the acquisition has been superseded by our decision to launch our online food operation through Ocado, rather than using the Kiddicare infrastructure. A £27m write-off of online costs incurred in setting up an independent online operation was recognised in the first half of the year.

It is imperative that Morrisons focuses very clearly on its core grocery channel. Kiddicare no longer fits our strategy and its poor financial performance will take time to address. Accordingly the assets of the business have been impaired and a charge of £163m, including provision for onerous leases, has been taken in the current financial year. We will seek to sell the business in 2014.

Turns out online retail is hard. Read more

Man without Webvan (updated)

Tuesday, February 4, 2014

From the FT:

Ocado has the benefit of being part of growing market. Online’s share of the grocery market will nearly double from almost 4 per cent in 2013 to 7 per cent by 2018, according to IGD. “We are preparing for a massive opportunity,” says Mr Steiner.

It is an opportunity that fellow co-founder Jason Gissing has chosen to skip. Mr Gissing will step down as the group’s commercial director later this year, but will retain his 3 per cent stake in the company.

Thursday, February 6, 2014

From RNSRead more

Can we have our bags back?

Here’s the Ocado mission statement:

To revolutionise the way people shop forever, by giving them a uniquely innovative and greener alternative to traditional grocery shopping.

At the 13-year mark, the revolution has not yet found room for profits, however.

With a torrent of new stock on the way this year attached to the latest round of hot initial public offerings (DFS, Zalando, Game, B&M Bargains…) with ebullient forecasts, it might be helpful to go back over Ocado’s history, and compare and contrast the hope with reality. Read more

Ocado moves into…central heating systems? [updated]

There’s a corporate finance wheeze known as a “cashbox”. It’s a way of getting around certain rules, regulations and conventions associated with being a London-listed stock.

NOTE — see the update at the bottom of this post, along with the comments. Read more

Van man down

Presented without comment.

The price action in Webvan 2.0 Ocado on Monday morning following a warning of lower than expected underlying profits because of further capacity problems at its state of the art warehouse in Hertfordshire. Read more

Snap news

Breaking pre-market news on Monday,

-  Ocado warns on its measure of profits; sees full EBITDA between £27.5m to £28.5; analysts expecting £34.3m — statementRead more

The LSE’s call to action

Sadly, the London Stock Exchange’s plan to fix the broken UK IPO market is unlikely to work for the simple reason that it doesn’t really believe there’s a problem. Read more

Should the Fed target a nominal level of GDP?

Anything Lord Wolfson can do…

LONDON, Oct 19 (Reuters) – A leading British businessman is offering a 250,000 pound ($390,000) reward for economists who can come up with the best plan for countries to quit the European single currency zone. Read more

Knife-catching – The Director’s Cut

Following Monday’s disappointing trading update, Ocado chairman Michael Grade waded into the market and bought stock.

 Read more

Webvan faces Tesco price offensive

More bad news for our favourite internet grocer – that’s Webvan2.0 Ocado in case you hadn’t already guessed.

Tesco is about to start a price war. Read more

Wheel comes off Webvan 2.0

No wonder analysts have been slashing forecasts. Monday’s trading update from the internet grocer — or Waitrose distribution arm as it is also known — reveals there has been no improvement in sales in the last quarter.

For the 12 weeks to August 7, sales growth was 16.9 per cent, the same as the preceding 12 week period and lower than the year-to-date run rate of 19.5 per cent. Read more

Snap news

Breaking pre-market news on Monday,

- Lloyds Banking Group loses its finance director to Resolution — statement and statementRead more

Goldman delivers another Ocado downgrade

And now for something a little lighter than all this sovereign debt, bank funding stuff.

It’s Webvan 2.0, or Ocado as its sometimes know. Read more

Webvan 2.0 delivers more downgrades [updated]

What goes up…

 Read more

Snap news

Breaking pre-market news on Monday,

- Akzo Nobel warns on profits — statementRead more

Webvan slows down

The first cracks in the Webavan 2.0 investment case or something altogether less sinister?

From Ocado’s unscheduled trading statement on Wednesday: Read more

Snap news

Breaking pre-market news on Wednesday,

-  HSBC launches $2.5-$3.5bn cost cutting programme; to review US retail operations — statement and presentationRead more

Pinewood, Peel and Michael Grade

This is Michael Grade

FT Alphaville readers probably know him best as the chairman of Webvan 2.0 Ocado but he’s also chairman of Pinewood Shepperton, the film studio owner that revealed a takeover approach on Friday. Read more

Snap news

Breaking pre-market news on Friday,

- WPP to increase dividend payout to 40 per cent of earnings; announces annual results- statementRead more

Goldman delivers for Ocado investors

Here’s a surprise. Goldman Sachs has responded to the sharp fall in the Ocado share price with an upgrade.

We upgrade Ocado to Buy (from Neutral). The stock has declined c.20% in the past month, offering an attractive entry point. Our unchanged 6-month price target of 304p now implies 51% upside potential, above the median for our Small and Mid Cap coverage of 23%. Hence, we upgrade to Buy. We retain our view that Ocado’s differentiated business model (proprietary centralized, semi-automated distribution and delivery network) results in a superior customer offering relative to other UK online grocers (e.g. more flexible delivery slots, higher order accuracy), hence, the company is well placed to deliver strong growth. Read more

Webvan man delivers burnt fingers

What’s that smell in the air?

Of course, it’s the unmistakeable stench of burnt fingers wafting across the City of London, from those investors who were foolhardy enough to buy the 10 per cent stake John Lewis sold in Ocado just two weeks ago. Read more

Waitrose vs Webvan

Advantage Delia at pixel time:

 Read more

Webvan man unloads after hours

If you thought Alphaville wouldn’t be watching the RNS feed at 6.30pm on Friday night Mr Steiner, CEO of Ocado, you were sadly mistaken.

We were and spotted your sneaky sale of 2m shares. Read more

Wm Morrison shops online

Wm Morrison, the UK’s fourth biggest supermarket group, has taken its first step into the world of e-commerce.

Sadly, it’s not buying Webvan 2.0 Ocado but Kiddicare, an online retailer of baby products based in a 160,000 square foot warehouse in Peterborough. Read more

Webvan Celeste

Related link:
John Lewis pensions trust sells remaining stake – RNS

Snap news

Breaking pre-market news on Friday,

- Nokia announces new leadership, new financial targets and new strategic partnership with Microsoft — statement and statementRead more

Snap news

Breaking pre-market news on Tuesday,

- Deutsche Bank warns Q4 profits will be significantly below expectations — statementRead more

Great mysteries of our time… continued

That’s right, at pixel time shares in the loss-making UK internet grocer Ocado were changing hands for 242p, giving it a market value of a cool £1.2bn. Read more

Snap news

Breaking pre-market news on Monday,

- Dupont to acquire Danisco for $6.3bn — statementRead more

Great mysteries of our time

No, not birds falling out of the sky in Louisiana, but this…

… the recent share price performance of Webvan 2.0. Read more