Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
1. DFS sees slowdown in furniture sales
Furniture retailer DFS (LON:DFS) has provided a trading update ahead of it financial year end later this month, which notes a marked slowdown in consumer activity in Q4. That comes off the back of a strong Q3 trading period. That said, both profit and revenue for the full year are forecast to come in comfortably ahead of pre-pandemic levels. The company notes that making estimates into next year is difficult but historically in times of furniture market decline they have gained market share and there’s a belief that further operating synergies can be delivered, too.
2. Significant jump in revenues and profits at Mitie
Full year results are out from Mitie (LON:MTE) this morning, covering the 12 months to 31st March. Group revenues are up almost 60%, pre-tax profits have almost tripled and shareholders are set to be rewarded with a 1.8p per share dividend. Management note that the company has reached an inflection point earlier than anticipated and is now able to leverage its capital base to focus on long-term value creation. Expectations for FY23 are that revenue growth will be in the mid to high single digit range, once COIVD related work in the last FY is excluded from calcuations.
3. Repositioned Tate & Lyle sees profits up 14%
Strong growth has been reported by Tate & Lyle (LON:TATE) this morning in full year results which represent a landmark year according to the CEO. Revenues are up 18% and pre-tax profits up 14% on an adjusted basis as the company has undertaken a series of strategic divestments, repositioning it as a growth-focused F&B solutions business. For the year ending 31 March 2023, the company expects further progress with adjusted pre-tax profits in line with market expectations, whilst revenue growth will reflect those widely reported higher input costs.
