Three things you need to know in the financial markets today from investment writer, Tony Cross.
1. JD Sports: bumper uptick in revenues reported
JD Sports (LON:JD.) issued final results this morning for the year to 29th January. Revenues advanced 40% whilst this saw gross profits advance from 48% to 49.1%. Investors are being rewarded with around a 20% increase in dividends. Management are encouraged by ongoing consumer demand for the year to date and acknowledge the presence of macroeconomic headwinds but believe that the 2022 figures can be matched for the coming financial year.
2. Frasers Group increases stake in Hugo Boss
Frasers Group (LON:FRAS) have this morning announced that they have made a strategic investment in Hugo Boss AG and now own 4.9% of the company’s issued equity with exposure to a further 26% via the sale of put options, giving an aggregate exposure of just under EUR 1 billion. The note adds that this investment reflects Frasers Group’s belief in the Hugo Boss brand, strategy and management team and Frasers Group continues to intend to be a supportive stakeholder and create value in the interests of both Frasers Group’s and Hugo Boss’ shareholders.
3. TEAM revenues up 63% but cash balance under pressure
AIM listed wealth, asset management and complementary financial services group TEAM (LON:TEAM) have today issued interim results for the six months to 31st March. Revenue was up 63% and losses per share had fallen by 53% although cash is being eroded. The company notes that balances are now £3m, down from £6.4m a year ago. Acquisitions are helping with cash generation, but will this be sufficient to cement investor confidence?