Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. On The Beach bookings increasing but well below pre-pandemic levels
There’s a full year trading update out from On The Beach LON:OTB covering the 12 months to 30th September. It’s been a challenging few months for the company which elected to suspend sales of holidays until the end of August owing to fast changing travel restrictions and judging the consumer mood, instead preferring to build long term loyalty. Whilst appetite for booking travel is now increasing it remains depressed from pre-pandemic levels so there’s no guidance on offer. However the company notes it has £55m in cash, a further £40m in ring-fenced customer deposits and an undrawn £75m credit facility. Further details will be included in annual results due on 9th December.
#2. Wickes Group Q3 revenues up 16.3% on 2019
Wickes Group LON:WIX published Q3 numbers today, noting a 1.6% decline in revenues from the same period a year ago. However that was against a tough comparative with the country having just emerged from the first lockdown in 2020, whilst the number is an impressive 16.3% up on 2019. The company notes that its strong commercial relationships means supply shortages have had no material impact on sales although rising prices are a challenge, which is being addressed by margin recovery without impacting the leading price proposition.
#3. WM Morrison shares to be cancelled tomorrow
The end of an era for WM Morrison [LON:MRW] which became a public company in 1967. After the drawn out takeover battle, the company has today announced that its shares are expected to be cancelled with effect from 8am tomorrow morning. Existing shareholders will be paid out at the agreed price of 287p per share.
