Langton Capital – 2023-05-03 – RTN, Coca Cola HBC, Starbucks, Flutter, Prezzo, RBI, Black Sheep etc.:
RTN, Coca Cola HBC, Starbucks, Flutter, Prezzo, RBI, Black Sheep etc.:A DAY IN THE LIFE: We’re a bit short on workplace Mondays given all of the Bank Holidays at the moment but I had immense sympathy with one reader when he informed us that his workplace canteen, refuge for those needing greasy breakfasts and strong coffee after hospitality industry visits the night before, was introducing a Meatless Monday Menu. I mean, call the cops because, whilst meatless meals may not be altogether a bad idea, when you need a bacon sandwich, you really need a bacon sandwich. And, as the reader above related that, when he was told it was Meatless Monday he immediately panicked and ordered porridge, I’m sure that he was in need of trauma counselling. Anyway, unforeseen consequences, and all that. Staff are now obliged to make two stops on Mondays, one for prune juice, avocado pancakes and the like in the office and another for the true essentials at the greasy spoon around the corner. 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: Demographics: The Telegraph quotes Policy in Practice when it writes that ‘Jeremy Hunt’s tax raid will punish tens of thousands more middle class families with tax rates of more than 100pc by the next election.’ It says that the decision to freeze the threshold at which taxpayers move up to 40% will impact a certain demographic. It points out that some families will face 103% marginal tax rates because of the way that benefits taper away at higher (but not very high) levels of income. Trading: The Oxford Partnership reports that ‘the first May bank holiday weekend of the year (Friday through to Monday) saw drinkers consume 54.1 million pints of draught beer and cider across the UK, equating to an increase of +8.5% versus 2022… • 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. Working from home: Pragma Group reminds us that ‘the pandemic has led to a shift in working patterns that, despite the encouragement of business and government alike, would appear deep-rooted and difficult to change…’ • 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: Discounting. M&B’s Toby brand is offering kids’ meals for £1 until Friday. COMPANY NEWS: Restaurant Group shares finished yesterday up 14% or so on the back of the company’s trading update in which it said that sales, and particularly dine-in sales, had been very strong in the last four weeks. The company also said that it was keeping ‘strategic options’ under review. Coca-Cola HBC AG has updated on Q1 trading, saying that it has delivered Q1 organic revenue growth of 22.2%, excluding Russia and Ukraine. It has said that growth has been led by price and mix changes. It says it is taking share. Organic revenue growth, including Russia & Ukraine, is 16.2% in the quarter with net sales revenue up 24.4%… • 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. Hotel Chocolat has announced the appointment of Stephen Alexander as non-executive chairman. The Company ‘also confirms that Jon Akehurst will join the Company as Chief Financial Officer and an Executive Board Director on 15 May 2023.’ Starbucks Corp yesterday reported Q2 numbers to 2 April saying that a sharp recovery in China allowed it to beat estimates. The company did not raise its current year forecasts, however, and the shares fell by around 6% in after-hours trading. Starbucks reported consolidated net revenues up 14% to $8.7bn with same store sales up 11% globally including a 12% rise in North America and a 7% rise in international markets… • 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. Prezzo is likely to face some push back from its landlords over the proposed closure of around a third of its sites… Masham-based brewery Black Sheep has announced it is to go into administration. It blames a ‘perfect storm’ of Covid-19 and rising costs. The brewery had announced that it was launching a “review of its strategic options” and had said that this included a possible sale of the business…. • 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. SIBA has announced that Historic Barnsley Bitter, brewed by Acorn, has taken top spot in the SIBA North East Independent Beer Awards 2023 Spirits maker the British Honey Company last week appointed Geoff Rowley and Simon Stibbons, Partners of FRP Advisory Trading Limited as administrators of company with effect from Tuesday 25 April 2023. FinnCap Ltd has resigned as AQSE Corporate Adviser and Joint-Broker to BHC with immediate effect. Restaurant Brands International, which owns Tim Horton’s and Burger King, has reported that the latter’s American unit count fell by 124 net restaurants between Q1 2022 and the end of Q1 this year. CEO Josh Kobza said that some ‘couple hundred’ unit closures per annum could be considered ‘normal’. He said that number could double this year… HVS has hosted a webinar along with Alix Partners and others at which participants heard that private equity may be set to play a larger role in the hotel sector… Greene King reports revenue up 62.2% YoY to £2,176m in FY2022, with an adjusted operating profit of £192.6m compared to £18.6m the year prior. Statutory operating profit was £249.2m for the year, vs. £63.8m in 2021. Events such as Platinum Jubilee weekend, women’s football Euros, and men’s football world cup drove event-led demand as trade returned to pre-pandemic levels… • 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. Molson Coors Beverage Company reports Q1 net sales up 5.9% reported and 8.2% in constant currency, primarily due to positive net pricing and favourable sales mix, partially offset by a slight decline in financial volume. Underlying income before income taxes improved 82.8% in constant currency to $157.8m… Liberation Group reports LfL sales +4.7% in its first 12 weeks to 22 April 2023, with drink sales up 4.4% in the UK managed estate, food up 2.8%, and accommodation achieving +13.9%…. Pernod Ricard has been threatened by certain activists with boycotts of its spirits brands if it does not halt all shipments to Russia after the drinks giant made a shipment of its top-selling Absolut Vodka to the country. However, Pernod Ricard is adamant that it has complied fully with all international sanctions and that its actions were solely to protect its employees in Russia. Asda will launch its first Deliveroo HOP site as it expands its partnership with the food delivery company to a further 100 locations. This first trial is a model of ‘HOP’ whereby partners own and manage sites while integrating Deliveroo’s Hop technology and leveraging Deliveroo’s logistics network. HOLIDAYS & LEISURE TRAVEL: Government less committed? Travel Weekly reports that Advantage Travel Partnership CEO Julia Lo Bue-Said has said ‘Our industry is not front of mind of this government. We’re not getting the engagement we need…’ Aviation analytics firm Cirium predicts that the King’s coronation will see 10% more flights YoY landing in the UK next weekend, with 10,807 scheduled. The additional bank holiday on May 8 will see outbound flights hit 86% of pre-pandemic levels. Marriott International reports Q1 2023 net income of $757m, up from $377m the year prior… Uber Technologies forecast quarterly core earnings above estimates yesterday, with revenue up 29% to $8.83 billion driven by 72% growth in the ride-hailing segment… OTHER LEISURE: Flutter has updated on Q1 trading, saying that total revenue was up by 54% year on year to £2.4bn (including acquisitions). CEO Peter Jackson says ‘the Group delivered a very strong Q1 performance with pro forma revenue growth of 29% achieved through continued execution against the Group’s strategic priorities…’ • 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 Gym Group has announced the appointment of Will Orr as Chief Executive Officer. Mr Orr ‘is expected to start later in 2023 and will join the Board of Directors of the Company at that time.’ He joins from Times Media Limited, publisher of the Times and Sunday Times. Liverpool is likely to receive a £40m boost as tens of thousands of Eurovision fans descend on the city to celebrate the annual song contest next week. Janice Mears, head of business growth at the Liverpool City Region Growth Company, said ‘we also expect 100,000 extra visitors staying’ in the region. Scriptwriters in Hollywood are set to strike for the first time in 15 years in a dispute over pay. The Writers Guild of America has some 11,500 unionised screenwriters. It is likely that talk shows will be impacted first, followed by soap operas with comedy series and drama likely to be affected a little further down the line. Tinder is to stop operating in Russia. Many other companies cut ties closer to the initial invasion some 15 months ago. FINANCE & MARKETS: The Nationwide house price index for April has shown prices, up 0.5% in the month, rising for the first time in eight months. The figure provided the backdrop to a strong day for the housebuilders though the number is below inflation and still leaves prices some 4% below their August 2022 peak…. • 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 weaker at $1.249 and €1.1326. Oil price lower at $75.36. UK 10yr gilt yield down 6bps at 3.66%. Markets weaker yesterday but Far East up in Tuesday trade. London set to open up around 27pts as at 6.30am. 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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