Moss Bros Group [LSE: MOSB]
More bad news from the high street this morning with a trading update from the menswear retailer, Moss Bros. The group will report 2017 numbers next Tuesday and expects these to be in line with forecasts, but the concern surrounds modelling which has been undertaken for the current financial year. Profits are set to be well below market expectations with supply shortages, a cautious consumer environment and continued challenges in hire sales all weighing against the business. The dividend is also being cut by around one third to free up cash for additional investment.
Kingfisher [LSE: KGF]
Full year earnings from Kingfisher this morning and again it’s far from sounding upbeat from the owners of B&Q. The company is admittedly in the midst of a five year transformation plan and currency fluctuations have proved flattering to some of the headline metrics, but earnings per share are at the bottom end of analyst expectations and the net cash position has been notably eroded, too. This is explained by higher levels of stock which should translate into better availability for consumers, but the transformation remains very much a work in progress.
Ladbrokes Coral Group [LSE: LCL]
News from the competition regulator, who had been looking into whether GVC’s bid to buy Ladbrokes would give rise to competition concerns. Both supply online betting services but the verdict has come back that the merger won’t impair competition. The Competition and Markets authority has deemed that there’s a sufficient number of other operators in this sector to ensure the deal doesn’t impair customer service or pricing.