Langton Capital – 2023-03-02 – PPHE, Flutter, AB InBev, SBUX, footfall, Just Eat, Oakman & other:
Section TitlePPHE, Flutter, AB InBev, SBUX, footfall, Just Eat, Oakman & other:A DAY IN THE LIFE: We can all of us only bat the ball we are bowled but, if you were say in your early 30s, it was pointed out to me yesterday that all your adult life has been consumed by the credit crunch, the recession, austerity, Brexit, Covid and now, likely another recession. But whilst that’s a sobering thought and it doesn’t sound great, maybe it’s not actually saying that much. Maybe any ten or fifteen year period will include a number of major events and if you were as old as the last century, like the old queen mother or my granddad, you would have certainly seen quite a bit. Any maybe next year, Rodney, we may all be millionaires basking in the sunlit uplands with our feet up but, in the meantime, it feels as though there’s quite a bit of work to be done in order to get there. Let’s move on to the news: LANGTON EMAIL: The Free Email is now written in short form. Extended versions of many stories (after the ellipses) are in the Premium Email. Reply to this email if you would like to upgrade. Prices for the Premium are £395 for one subscription, £695 for multiple, £995 for very large subscribers, all plus VAT. Or sign up for easy in, easy out monthly option per subscriber HERE https://www.paypal.com/cgi-bin/webscr?cmd=_s-xclick&hosted_button_id=87YUG2Z5W7PSN PUBS & RESTAURANTS: Footfall: S4 Labour has reported that February Lfl sales ‘show little growth’. It says ‘February sales in Hospitality show little growth, as year-on-year increase sits at 1.6%, despite low 2022 statistics that were affected by Omicron…’ • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. The consumer: The Bank of England yesterday said that net mortgage lending to individuals fell from £3.1 billion to £2.5 billion in January. It says mortgage approvals fell to 39,600 in January from 40,500 in December. This ‘marked the fifth consecutive monthly decrease in mortgage approvals…’ • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. Labour market: UKHospitality’s Workforce and Skills Seminar highlights the significant job creation taking place in accommodation and food service, with a record 2.6 million people now employed in the sector. Vacancies in the sector are still 64% higher than pre-pandemic levels. Inflation: CGA and Reputation report that consumers are looking for good value rather than cutting down on spend…. A poll by the Morning Advertiser has found that 30% of operators have increased beer prices by more than 5% during the past six months… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. See comment on Pret wages below. See also comments from PPHE, which sees average room rates up 37%. Delivery: Fad or Fundamental? Anecdotal but interesting to note that The Wendy’s Co. in the US is reported to be pulling back significantly on its delivery kitchen plans. It had said it would get to 700 units… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. Other news: Capital & Counties reports that footfall in the West End has had a ‘strong recovery’ with ‘customer sales ahead of pre-pandemic levels.’ In terms of leasing demand, the REIT said its targeted categories, including F&B luxury and premium, were among the highest performing. The Spanish agriculture minister has said that a mixture of Brexit and bad planning – along with weather – are to blame for the fruit and vegetable shortage affecting the UK’s supermarkets, reports Sky. This may go on for some time. UKH CEO Kate Nicholls has commented on the Hospitality Strategy (and asked for more government help) saying it ‘was a seismic shift in the way Government sees hospitality, as was the development of a Minister with specific responsibility for the sector.’ She says the ‘update shows the substantial progress that has already been made in the sector’s recovery and towards a more resilient future, despite the massive external shocks we have faced…’ • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. ACHIEVING SUCCESS IN SMALL INCREMENTS: The challenge: Warren Buffett said success in business was often simple but not easy. Many a true word. And Tao Tzu, we had to look that up, said ‘a journey of a thousand miles begins with one step’. So where are we at? The controllables include product offer and, to some extent, staffing, pricing and pitch…. • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. COMPANY NEWS: Just Eat shares yesterday fell 2% on its full year update. The company’s shares, trading now at 1771p, have slid from recent highs of over £22. The shares traded at around £95 towards the end of 2020. AB InBev has reported full year and Q4 numbers saying ‘we delivered all-time high full-year volumes with accelerated revenue per hl, resulting in 11.2% revenue growth and EBITDA growth at the top-end of our outlook.’ The company adds that ‘underlying EPS increased by 5.2% and another year of strong free cash flow generation resulted in deleveraging to a net debt to EBITDA ratio of 3.51x…’ The Oakman Group Plc yesterday updated on a number of management following the departure of FD Koula Achillea. It says that ‘long-time non-executive director and shareholder, John Leslie, becomes Non-Executive Chairman. Peter Borg-Neal will return to the position of Chief Executive Officer… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. Pret A Manger is reported to be set to give staff their third pay rise in 12 months. The company says this ‘amounts to a 19% bump in year-on-year basic pay for shop staff.’ In the US, Starbucks has been found to have illegally fired six workers in New York state as it fought against unionisation… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. Spirits producer The British Honey Company has commented on its General Meeting yesterday saying hat it had been ‘held to enable shareholders to consider whether any, and if so, what steps should be taken to address the Company’s “serious loss of capital.” It adds ‘shareholders were not asked to vote on any Resolutions at the Meeting as it was a discussion forum only. It was agreed that the Board would follow-up on several questions raised in due course.’ HOLIDAYS & LEISURE TRAVEL: PPHE has reported full year results saying that it has seen ‘trading and operational outperformance leading to NRV growth and dividend reinstated.’ The company reports that ‘total revenue increased by 133.5% to £330.1 million (2021: £141.4 million)…’ • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. Consumer group Which has criticised Online Travel Agents for their pricing policies. Envisioning Tourism in 2030 and Beyond has warned the tourism industry that it cannot ‘blindly’ continue hoping technology and offsetting will help it reach net zero emission targets… The latest GO Technology report by Zonal has found that 81% of consumers are planning to stay in a UK hotel in 2023, as cost-of-living pressures deter them from taking trips abroad. Around 44% of consumers said that they will avoid hotel stays overseas, with 39% instead opting to have a ‘staycation’. Whitbread has announced plans to convert former office space into a Premier Inn in Lion Yard Shopping Centre in Cambridge… OTHER LEISURE: Flutter has reported full year numbers saying that revenues rose by 27% to £7.7bn with the loss before tax reduced to £305m from £412m in the prior year. The loss per share is 171p vs a loss of 237p in the prior year. Debt is £4.6bn, up from £2.6bn last year… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. The John Lewis Partnership is to sell a golf course that it has owned for almost a century. Talks re the disposal of the course, the Winter Hill Golf Club in Cookham, Maidenhead, are said to be advanced. Tottenham Hotspur & Formula 1 have announced a 15-year strategic partnership… FINANCE & MARKETS: Bank of England governor Andrew Bailey has suggested that interest rates may rise, but by less than previously thought… The S&P PMI for UK manufacturing sector in February was reported yesterday at 29.3, up from 47.0 in January… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. The Nationwide yesterday reported that the price of the average home in the UK fell by 0.5% in February and by 1.1% in the year to that date… • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. Sterling down at £1.1085 and €1.1263. Oil higher at $84.28. UK 10yr gilt yield up 2bps at 3.85%. World markets mixed yesterday. London set to open up around 15pts. RETAIL WITH NICK BUBB: • See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out. |
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