AO World boosted its annual profit outlook ahead of its annual general meeting, as it revealed plans to increase investor returns with its first shares buyback.
The electricals giant expects full-year profits between £45m and £50m, compared to its previous guidance of £40m to £50m.
AO forecasts sales to be 13% higher for the six months to 30 September, with retail revenues set to jump 11%.
The brand saw profits of £45m for the year 2024/25, excluding its recently acquired Music Magpie company.
In a first for the business, AO said it was planning to buy back up to £10m in shares.
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AO founder and CEO John Roberts said: “Our strategy as set out at our full year results is working and we have an exciting pipeline of further value to deliver for customers in the second half.”
AO is set to report its first half results on 25 November.
In June, the home appliances company warned that it could shut its loss-making contract mobile phone business within the next couple of months if it failed to secure a more profitable deal with network providers.
Roberts said the retailer was considering closing down its network contract business, but assured that it was “not walking away from mobile as a category”.
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