Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. AO full year losses mount, costs to be cut
After a meaningful delay, full year results from AO World [LON:AO] are out this morning. The company is applauding its two year revenue growth as it looks to smooth out some of the upside impact of COVID and at 52% that’s worthy of note, but over the same period it turned a £1m operating profit into a £32m loss. The company is refocusing, withdrawing from the German market and the sector has been impacted by a number of supply chain and distribution factors in recent months. However given the cost of living crisis, a quick rebound in fortunes may be difficult to deliver.
#2. MADE: media speculation regarding funding deflected
There’s a short note out from MADE.com LON:MADE in response to press speculation that the company may need to consider a capital raise. The note gives nothing away, simply stating that management are looking at all options, of which this is one. A further announcement will be issued if and when appropriate.
#3. Successful US IPO for Tekcapital portfolio company
We flagged a Tekcapital LON:TEK portfolio company participating in an IPO at the start of the week. This morning, AIM-listed TEK has confirmed that the IPO of Innovative Eyewear has successfully closed. Proceeds will be used to fund marketing, expand inventory and for product innovation, but TEK shareholders will be watching the performance of the new underlying stock closely.
With the corporate news running dry, we’re going to take a short break from the Three Quick Facts for the next couple of weeks, but will be back on September 5th.
