Ocado shares plunged 18% on Thursday after the grocery‑delivery group reported a sharp decline in its tech‑licensing division, eroding investor confidence.

Adjusted EBITDA for the division fell 18% to £60mn in the six months to 31 May, while sales dropped 8% to £256mn—the unit accounts for about four‑fifths of group profits. The slump follows international clients Kroger and Sobeys closing warehouses fitted with Ocado’s technology. Planned projects in Arizona and Seoul were delayed, and the company cut its forecast for the number of “modules” to install this year from 10‑15 to around 10.

The weak performance coincides with a board dispute over CEO Tim Steiner, who will remain in post until December 2027 before moving to an advisory role. Despite the turmoil, Steiner said the company is in talks with potential new US clients and hopes the Marks & Spencer joint‑venture dispute will be resolved soon.

Ocado’s overall business grew revenues by 15% to £1.76bn in the first half, with adjusted EBITDA more than doubling to £73mn.