Ocado Group
Half Year Results
2026
The highlights
Financial progress
- Revenue (incl. Kroger and Sobeys closure impacts¹) +54% to £1,037m
- Revenue excl. Kroger and Sobeys closure impacts +1% to £684m, Technology Solutions recurring fees -3% (+5% excl. recurring fees from Kroger/Sobeys closures²), Ocado Logistics +8%
- Group adjusted EBITDA*³ (incl. Kroger and Sobeys closure impacts) £432m (HY25: £92m); Technology Solutions £410m (HY25: £73m) and Ocado Logistics £22m (HY25: £19m)
- Group adjusted EBITDA*³ excl. Kroger and Sobeys closure impacts £81m (HY25: £92m), Technology Solutions £60m (HY25: £73m) and Ocado Logistics £22m (HY25: £19m)
- Ocado Retail revenue +15% and EBITDA £73m* (HY25: £33m); now adjusted EBT* positive at £12m (HY25: £(17)m loss); reported as an associate
- Statutory EBT £17m (HY25: £(173)m); after adjusting items of £(53)m (HY25: £(35)m)
- Total net cash inflow £25m (HY25: £13m); Underlying cash flow⁴ of £(147)m (excl. Kroger and Sobeys closure impacts), (HY25: £(108)m)
- Strong liquidity at £1.1bn; cash and cash equivalents of £765m (HY25: £746m) and an undrawn £300m RCF; Group set to address its £350m maturities to FY27 from existing cash
Operational and strategic progress
- OSP network growth: +27%⁵ international CFC volumes growth; 23 CFCs worldwide with 115 average live modules⁶ (HY25: 122)
- New partner win: partnership with Asda to develop online business in the UK, to go-live in FY27
- Step-change in commercial engagement: enabling a return to mature grocery markets with a significantly evolved solutions proposition; USA a large focus market with multiple live engagements
- Re:Imagined rollout: On-Grid Robotic Pick (OGRP) in 14 CFCs, Swift Router enabling short lead-time orders in 15 CFCs globally, 4 client partners signed to integrate across multiple online aggregators
- £150m cost reduction on track: vast majority of initiatives actioned in 2Q26 with benefits to flow through in 2H26 and FY27
- Ocado Retail continuing to deliver market-leading⁷ growth with orders +13%; total CFC costs, incl. labour, at 5.7% sales with UPH efficiency +11%; 5.0% EBITDA margin* (excl. Hatfield fees)
The first half of the year has seen accelerating international volume growth, strong commercial momentum, improved organisational efficiency, and rigorous cost discipline. Since the start of the year, weʼve been re-engaging retailers across some of the worldʼs largest grocery markets, with the USA a particular focus, supported by a significantly evolved portfolio of technology solutions.
Alongside a more focused R&D investment strategy, we have made significant organisational changes to strengthen cost and capital discipline while improving the effectiveness of our commercial operations. As we continue to focus on delivering growth and efficiency, we will achieve positive cash flow in the second half of the year and be full-year cash flow positive in FY27.
I remain fully focused on executing our strategy and creating value. I am pleased that, in recent weeks, we have established a clear process for long-term succession planning at Ocado. We have the best technology in the industry, exceptional talent, and a tremendous opportunity ahead of us. I am as excited and energised about Ocadoʼs future as I have ever been.
Tim Steiner, CEO, Ocado Group
| £m | 1H26 | 1H25 pro-forma* | Change |
|---|---|---|---|
| Revenue | |||
| Technology Solutions | 609.2 | 277.3 | 119.7% |
| Logistics | 427.8 | 396.7 | 7.8% |
| Group | 1,037.0 | 674.0 | 53.9% |
| Operating costs | |||
| Technology Solutions | (199.0) | (204.5) | 2.7% |
| Logistics | (406.0) | (377.7) | (7.5)% |
| Group | (605.0) | (582.2) | (3.9)% |
| Adjusted EBITDA* | |||
| Technology solutions | 410.2 | 72.8 | £337.4m |
| Logistics | 21.8 | 19.0 | £2.8m |
| Group | 432.0 | 91.8 | £340.2m |
| Share of results of joint venture and associate | 5.9 | (8.4) | 170.2% |
| Depreciation, amortisation and impairment¹ | (308.7) | (174.2) | (77.2)% |
| Finance income² | 21.8 | 22.4 | (2.7)% |
| Finance costs | (78.9) | (66.1) | (19.4)% |
| Other finance losses³ | (2.1) | (2.6) | (19.2)% |
| Adjusted EBT* | 70.0 | (137.1) | £207.1m |
| Adjusting items* | (52.9) | 744.4 | £(797.3)m |
| EBT | 17.1 | 607.3 | £(590.2)m |
| Tax | (49.8) | (2.4) | £(47.4)m |
| (Loss)/profit after tax | (32.7) | 604.9 | £(637.6)m |
* These measures are alternative performance measures. Please refer to Note 19 to the Condensed Consolidated Financial Statements.
1. Depreciation, amortisation and impairment of £308.7m (1H25) £174.2m) excludes £nil (1H25) £4.7m) recognised in adjusting items*.
2. Finance income of £21.8m (1H25) £22.4m) excludes £nil (1H25) £2.0m) recognised in adjusting items*.
3. Other finance losses of £2.1m (1H25) £2.6m loss) exclude £nil (1H25) £2.3m gain) recognised in adjusting items*.
