Three things you need to know as the UK financial markets open, from Tony Cross.
#1. Ashley looks to sweep up at boohoo
A bold move from Frasers Group LON:FRAS this morning, who own around 27% of boohoo and are the company’s largest shareholder. Frasers have sent a note requisitioning a general meeting to seek the appointment of Mike Ashley as director and CEO of boohoo. In a recent business update, boohoo announced that its own CEO would be stepping down and that a strategic review (possible break up) was underway to maximise shareholder value. It would seem that Mr Ashley has conviction that he could do a better job here…
#2. Steady growth at Dunelm as company eyes first London store
Dunelm LON:DNLM has Q1 numbers out today with total sales up 3.5% year on year with sales growth being reported as rising on volumes with a 20bps increase in margin also helping. Management remain confident that the company will soon reach 10% market share, with the group’s first foray into central London via an opening in the Westfield mall being seen as a key milestone, too.
#3. Net profits impress at Barclays as impairments, interest income stable
The latest interim management statement from Barclays LON:BARC covering the first nine months of the year is out today. RoTE has posted 12.3% for the quarter and 11.5% for the year to date. Net interest income is holding steady, leading to the bank upgrading expectations here for the full year and impairment charges also remain stable. Headline net profits jumped by 23%, comprehensively beating expectations
