Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. SSP Group sales down 42% from 2020 figure
SSP Group [LON:SSPG] is the operator of food & beverage outlets in transport hubs across the globe, so it’s fair to say that the last two years haven’t been easy. This morning the business released full year results to 30th September, noting sales down 42% from the 2020 figure and more than 70% from the 2019 comparative. However the tide does seem to be turning, with revenue averaging 66% of 2019 levels in the first nine weeks of the new financial year. The company acknowledges near term volatility, but believes this can be managed as is eyeing a return to 2019 levels of trade by 2024.
#2. McColl’s Retail sees sales growth for expanding Morrisons Daily convenience stores
McColl’s Retail Group [LON:MCLS] has issued a full year trading update, covering the period to 28th November. A combination of COVID restrictions and supply chain constraints have served to hamper the company’s performance, including seeing revenues drop back by more than 10%. On a two-year, like-for-like basis, the number is more impressive, showing growth of 9.1%. Even more robust figures are being seen in terms of sales growth for the expanding number of Morrisons Daily convenience stores.
#3. Quiz sales up more than 100% while margins improve
Some upbeat half-year numbers from fashion retailer Quiz [LON:QUIZ], which is benefiting from the easing of social restrictions. Sales for the six months to 30th September were up by more than 100%, with significant margin improvement also being seen off the back of lower discounting rates. That sales growth has been sustained in the first two months of the new financial year, which is reported as being at levels consistent with pre-COVID trade, although the company acknowledges that concerns over the Omicron variant could take a toll in December if demand for its ‘dressy and occasional wear’ is hit as a result of event cancellations.