AO World says German website to go live six months early

Reuters
Updated

LONDON (Reuters) - AO World, the British online domestic appliances retailer that joined the stock market in February, said its German website would go live on Wednesday, six months ahead of schedule.

Shares in the firm, which sells everything from washing machines and fridges to ovens and vacuum cleaners, rose 4.2 percent on Tuesday after it also said its UK business performed well in its second quarter, with revenue growth and core earnings on track to meet internal expectations for the 2014-15 year.

AO sees the launch of AO.de in Germany as the first step in its European expansion plans.

It said the site will be live for pre-orders on Wednesday with nationwide, next day delivery services, commencing on Oct. 14.

AO said the early launch in Germany will bring forward all associated costs into the 2014-15 year.

Shares in AO listed at 285 pence on Feb. 26 and peaked at 412.4 pence the same day. The stock has since lost over half its value, hitting a low of 187.3 pence last week.

The stock was up 8 pence at 199 pence at 0723 GMT, valuing the business at 843 million pounds.


(Reporting by James Davey; editing by Kate Holton)