Three things you need to know in the financial markets this morning from investment writer, Tony Cross
Hornby
There’s a trading update out from the headline writers’ favourite, Hornby, this morning. Stock shortage means that revenues have been under pressure, although margins have improved and overheads are falling, too. The company sees itself in the midst of a turn around strategy with more details due in June’s full year results. Looks like it’s a case of full steam ahead….
The City Pub Group
Full year results from The City Pub Group today, with the company recording a strong performance. Sales are up by 22% and the board is recommending a parallel increase in the dividend. The World Cup helped the business recover from a colder – and slower winter last year, whilst the theme of expansion continues, too. Profits are up 60%, a further 6 pubs are to be added to the estate and some good moves seem to have been deployed when it comes to staff retention, too.
Debenhams/Sports Direct
The Debenhams/Sports Direct situation continues to trundle on, with a series of exchanges between the two entities having evidently taken place overnight. Debenhams has refused the latest overtures, in what looks to be a win for the debt-holders and a wipe-out for shareholders. The department store has said that it expects to make further announcements during the day, potentially confirming its move into administration.
