Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. Ocado customer numbers break above 1 million
There’s a Q1 trading update out from Ocado LON:OCDO this morning showing continued growth across most metrics. Revenues are up by almost 11%, active customers moved above the 1 million mark and the average basket value added 2.1%.
Management note this has been a strong start to the year, building on the momentum established in 2023. The average number of items in each basket has dropped slightly, but to such an extent that it appears little more than a rounding error.
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#2. 18% decline in H1 sales as ASOS refocuses
There’s a trading statement out from ASOS LON:ASC this morning covering the 26 weeks to 3rd March. Sales declined by 18%, a move that was broadly in line with previously offered guidance as the company looked to focus on profitability and agility. This trend is set to be maintained for the full year, with guidance remaining unchanged as inventory is unwound to pre-COVID levels whilst positive cash generation will continue to improve the net debt situation.
#3. Growing brand stable boosts Barr
AG Barr LON:BAG the makers of Irn Bru and other beverages, published full year results this morning. Management didn’t hold back, labelling it as an excellent financial performance with like for like revenues up by 8% but by more than a quarter once you add in new products, adjusted pre-tax profits up by 16% and shareholders being rewarded with a 15% uplift in the dividend.
The company’s expansion into new channels such as plant-based milks and pre-mixed cocktails is evidently yielding results, with expectations being for the momentum to continue into FY25.
