Online retailer Ocado has made a profit for the first time, it has told the Financial Times.

The retailer, which delivers Waitrose groceries, recorded a profit before interest, tax, depreciation and amortisation this month, co-founder Jason Gissing said. "We have proved we can do this."

“I can now sleep at night for the first time in eight years because we are really doing this," he told the paper.

Gissing also hinted at a possible flotation. “Now we are EBITDA positive, we can float the business, we can raise money, all of these things that were hard to start off with became possible.”

However, Ocado still expects to report a pre-tax loss of £33m in the year to December 2007 on sales of £320m.