Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. Associated British Foods expects significant progress with profits over the year
There’s a trading update out from Associated British Foods LON:ABF this morning ahead of the company’s AGM. Activity across all sectors is reported as being in line with expectation as the business tackles port congestion and other logistical difficulties. Trading at Primark has however been ahead of expectations despite renewed COVID restrictions, with two new store openings taking the estate to a total of 400. The company adds that it expects significant progress with profits over the year.
#2. Photo-Me full year revenues expected to come in ahead of expectations
A trading update from Photo-Me International [LON:PHTM] notes that strong momentum into Q4 – which ended on the 31st October – means that full year revenues are now expected to come in slightly ahead of previous expectations. Most key markets have now recovered well to pre-pandemic levels and the board remains cautiously optimistic despite macroeconomic headwinds including rising inflationary pressures and ongoing COVID challenges.
#3. Hilton Food Group expands its premium product range
There’s news of an acquisition from Hilton Food Group LON:HFG this morning, with the company expanding its premium product range through the purchase of Dutch Seafood Company BV. The strategic play is seen as facilitating growing the company’s customer base, as well as moving into a high protein category with a strong growth outlook. The acquisition is being funded through the issue of new equity, with the target receiving an enterprise value of EUR90 million.
