Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. AO World trading update shows margin improvement
There’s a trading update out from white goods retailer AO World [LON:AO.], noting that the company continues to see good traction from initiatives to reduce cost and improve margins. Estimated revenues for the full year are now set to be as forecast at £1.13bn, management have confidence that the mid-term EBITDA target of 5% can be met and that further margin improvements can be found, too.
- Three Quick Facts: Cranswick, AO, Capita
- Three Quick Facts: N Brown, Hotel Chocolat, Hays
- Companies Reporting: LVMH, PepsiCo, easyJet
#2. Hays: GBP weakness provides valuable tailwind
There’s a Q3 trading update out from recruiter Hays [LON:HAS] noting a further 5% growth in fees, with this biased towards temporary staff and the German division performing exceptionally well. That made for a record revenue performance despite macroeconomic headwinds, with a weakening GBP providing further tailwinds. H2 numbers are tipped to be marginally ahead of the H1 equivalent.
#3. 888 Holdings full year revenues flattered by William Hill acquisition
888 Holdings [LON:888] has published full year results today, along with Q1 FY 23 numbers. Both are in line with expectations and the outlook remains unchanged, with full year revenues – up 74% – flattered by the acquisition of William Hill. Expectations are for revenues to decline in the current FY although EBITDA is set to be significantly higher, with the board confident that headline metrics will be delivered out to 2025.