Langton Capital – 2022-10-14 – Loungers, confidence, Diageo, Domino’s US, ROO, RNK & other:
Loungers, confidence, Diageo, Domino’s US, ROO, RNK & other:A DAY IN THE LIFE: With regard to our puppy I think that, in the same way that everyone in the world would walk past you if you sat outside King’s Cross Station for long enough, she’s on a mission, which she will surely fulfil if given enough time, to destroy everything that we own. And she’s certainly putting the effort in because this is Very Important Work. Footballs alongside rugby and tennis balls were toast pretty much from day one. Slippers and sandals – until they were move to a sufficient height – rapidly followed and now it’s plant pots, plants, chair and table legs and heaven knows what else. Her first lead snapped because, on closer inspection, it had been chewed through. The fallen apples are pretty much instantly chewed to mush, various sticks, broom handles and the like have been shredded and the bark on a couple of our trees up to about three feet from the ground seems to have mysteriously gone missing. Butter wouldn’t melt of course. Trails of bark chippings, twigs and mangled toys leading to wherever she’s sitting mean nothing and any dog-spit DNA analysis would no doubt be fake news so hopefully she’s just teething, this could be over by Christmas. Anyway, it’s Friday. It’s felt like a long week. Have a good weekend and let’s move on to the news. LANGTON EMAIL: The Free Email is now written in short form. Extended versions of many stories are in the Premium Email. Reply to this email if you would like to upgrade. Prices for the Premium at time of writing are £345 for one subscription, £595 for multiple, both plus VAT. Or sign up for easy in, easy out monthly option HERE https://www.paypal.com/cgi-bin/webscr?cmd=_s-xclick&hosted_button_id=87YUG2Z5W7PSN LOUNGERS – H1 TRADING UPDATE: Loungers has this morning updated on trading for the first 24wks (the period to 2 Oct 2022) of its current financial year. Headline comments: Loungers summarises the first 24wks, saying that the co is seeing ‘continued industry-leading like for like sales growth with 11 new sites opened during the period’ The company says it ‘has continued to significantly outperform the market’ and adds that, ‘over the 24 weeks to 2 October 2022, the Group delivered like for like sales growth of 17.0% using the period 22 April to 6 October 2019 as the comparator.’ Loungers says ‘the continued strength of performance against a well-documented challenging macroeconomic backdrop is testament to the relevance and resilience of our brands.’ Balance sheet & cash flow: • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. PUBS & RESTAURANTS: Consumer discretionary income: Homeowners whose fixed mortgages are expiring are facing a further rise should they want to re-fix reports Moneyfacts… • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. The Bank of England has cautioned that the number of mortgage defaults is likely to rise in the coming months. it says the numbers slightly increased between July and September but, given the major rises in rates since, numbers are likely to rise further. The Transport Secretary Anne-Marie Trevelyan is reported to be thinking about a fuel price checker that would allow drivers to compare costs of petrol and diesel… Confidence: YouGov has reported on consumer optimism saying that its overall index has fallen by a further 1.1 points. It points to mortgage costs (and perhaps upcoming asset price weakness) in the housing market as a major cause… • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. The chancellor, Kwasi Kwarteng, has insisted he is “not going anywhere.” That could clearly be read more than one way. He is coming back from the US early and a U-turn is expected early next week. Other news: CGA by NielsenIQ’s latest consumer research shows that the Mojito is the cocktail of choice for consumers in pubs, bars and restaurants. The percentage of European consumers drinking cocktails increased by 3% YoY to 31% in 2022… COMPANY NEWS: Diageo has announced that, through its wholly-owned indirect subsidiary, Diageo Kenya Limited, it has ‘served notice on East African Breweries PLC of its intention to increase its equity stake in EABL up to 65%…’ Parent company and brand owner Domino’s Pizza in the US has reported Q3 numbers saying that LfL store sales rose by 2% in the quarter. This is positive in absolute terms but it is below the level of inflation. Sales had declined by 2.9% in Q2… • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. Sign of the times? Deliveroo has partnered with buy now, pay later provider Klarna, so customers can buy takeaways and groceries on credit… • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. LVMH’s wine and spirits division reported revenue up 14% to €5.22bn over a 9 month period. Revenue for the whole company rose 20% to €56.5bn. The luxury goods firm said that sales in Europe, the United States, and Japan had risen ‘sharply’ since the start of this year, thanks to a return to international travel and ‘solid demand’ from consumers. The Wolseley Hospitality Group (TWHG) has reported a profit after tax of £1.2m in the year to December 2021, up from a loss of £4.2m in 2020. TWHG reported revenue of £5.5m, up from £4m the year prior. Minor International acquired 100% of the share capital in the group, formerly known as Corbin & King, in April 2022. British Honey, the Aquis-listed UK producer of alcoholic spirits, honey and jam, announced yesterday that it had launched ‘a strategic review to explore the strategic and financing options available to the Company, including the possibility of a sale of the Company…’ The Real Greek will open its new site in the Touchwood shopping and entertainment location in Solihull on 17 October. The site marks the brand’s debut in the Midlands, and its 4th new restaurant opening in 2022. Yesterday, Tim Hortons opened a drive-thru at Wyvern Way, Chaddesden in Derby. HOLIDAYS & LEISURE TRAVEL: Luton airport ground handlers are being balloted for strike action in the lead-up to Christmas, with the ballot closing on 1 November. Travel Weekly reports that suppliers are cutting back their peak marketing plans over fears relating to the cost of living crisis impacting sales… • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. TripActionjs is reported to have raised another $300 million funding which has increased its valuation to $9.2 billion. IAG reports that it has not seen any signs of weakness in forward bookings. It says ‘forward bookings remain at expected levels for the time of year, with no indication of weakness, and accordingly our fourth quarter expectations remain unchanged as of today.’ HotelHub reports that business hotel usage has recovered almost to pre-Covid levels. OTHER LEISURE: Rank Group shares fell 11% yesterday on the back of the company’s AGM trading update in which it said that its energy bill could be some £34m higher and that customers were shying away from its venues, particularly Grosvenor Casinos. World Chess is reported to be considering a listing of its shares in London. Netflix is reported set to launch its new streaming option with adverts in November. FINANCE & MARKETS: The Royal Institution of Chartered Surveyors has suggested that higher mortgage payments and potentially also repossessions will bring the UK’s 13yr house-price boom to an end… • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. US inflation was somewhat higher than expected last month at 8.2%. Whilst this was lower than the 8.3% recorded in the year to August, the rate had been expected to fall further… Markets rallied yesterday on hopes that the government would U-turn on some or all of its flagship budget policies. Sky reports that the chancellor is returning from the US early. Robert Peston at ITV says there will be a U-turn early next week. Chancellor Kwarteng said yesterday that he was ‘not going anywhere’ and that he was committed to his policies. Sterling up at $1.1318 and €1.1568 on U-turn hopes. Oil price higher at $94.68. UK 10yr gilt yield down 26pts at 4.18%. World markets better yesterday and London due to open up some 72pts as at 6.30am. RETAIL WITH NICK BUBB: • See premium. Reply for sample or to upgrade. Single £345, multiple £595. Limited time offer: PayPal monthly £25 + VAT. Easy in, easy out. |
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