John Roberts, the founder of online electricals retailer AO World, has stepped down as chief executive. Roberts, who started the company in 2000 after a pub bet, built AO into a business worth £2bn by 2021, though it later shrank to a £480m valuation due to international expansion problems and a post-pandemic slump.
Roberts, a former kitchen salesman from Bolton who left school with no qualifications, is now worth over £125m, according to the Sunday Times Rich List. AO World sells more than £1.1bn worth of electrical goods annually, including washing machines, TVs, and mobile phones. The company saw sales shrink last year after pandemic highs, and posted an £11m loss, requiring £40m in new capital after falling into debt.
Last year, AO closed its German business, cut jobs, and shelved a trial of Tesco outlets to focus on its profitable UK arm, which made £8m this year. The recycling division, which processes up to 1.2m appliances annually, survived the cuts. Roberts invested over £20m in the plant since 2016, aiming to turn old appliances into new products.
Roberts has been a vocal advocate for tighter recycling regulations. He criticised the delayed extended producer responsibility scheme, which is now unlikely to be finalised until at least 2025. Under the scheme, producers would fully fund the end-of-life management of electrical goods.
Roberts steps down as the company refocuses on its core UK business. His departure marks the end of an era for AO World, which he built from a small kitchen appliance discounter into a major online retailer.
