Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. Compass Group run rate ahead of pre-COVID levels
Catering group Compass Group LON:CPG reported half year numbers this morning. Underlying revenues have now recovered to 99% of 2019 levels and the run-rate is said to be higher than was seen pre-COVID, too. Operating margins are also advancing well, up 240 bps, and guidance on full year revenue growth has been upped from a previous 20-25% range to 30%. Shareholders are being rewarded with a 9.4p interim dividend.
#2. ITV revenues up 23% on Q1, tougher comparatives ahead
Q1 numbers from ITV LON:ITV show growth across the vast majority of business sectors, with revenues advancing some 23%. The company does note however that the comparatives will get tougher as the next two quarters sit against last year’s Euros. It’s a fairly long note to go through, but the apparent absence of any reference to consumer impact from the ongoing cost of living squeeze is notable, perhaps suggesting that tweaking the advertiser mix here will be sufficient to overcome challenges.
#3. Best of the Best pre-tax profits set to beat forecasts
Best of the Best LON:BOTB, the online competitions company which was forced to dramatically change its trading model as a result of COVID, has issued a very short piece of guidance this morning for the full year to 30th April. Management notes that performance has been consistent with the market guidance issued at the time of its interims, and that pre-tax profits are set to come in slightly higher than had been forecast.
