// AO World raises its profit guidance for the second time this year as cost-saving measures pay off
// The retailer said its “resilient” underlying customer base has been the driving factor behind its improvement
AO World has upgraded its earnings guidance for the second time this year in a further boost for the electrical retailer‘s recently-launched turnaround strategy.
The business said steps to simplify the business and become more efficient have outperformed expectations, delivering strong results sooner than expected.
Helped by a “resilient underlying customer base” earnings for the year to March are expected to be in the range of £37.5m and £45m, an increase on £30m and £40m guided in January.
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AO already boosted its guidance back in January, when it said it forecast earnings between £30 million and £40 million.
AO World also said margin improvement initiatives had been a driving factor behind retail gross margin improvement.
The retailer is set to publish a full-year post-close trading statement on 14 April 2023.
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