Langton Capital – 2024-04-02 – RBG, Adnams, Gail’s, Frontier Development, Travelodge, Easter & other:
RBG, Adnams, Gail’s, Frontier Development, Travelodge, Easter & other:A DAY IN THE LIFE: Well, it’s another short week and for that I suppose we should be grateful. Because, after four days pinging and ponging across the country, it’s easier to hit the ground stumbling than running and so it has proven this morning because, what with power outages and ‘important updates’. It’s been hard to get going. And we won’t talk about the football because taking zero points and shipping five goals in at the wrong end of the pitch over the Easter weekend isn’t something we’d like to talk about so, instead, 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 sent separately PUBS & RESTAURANTS: Easter trading: Zonal reports that bookings for the Easter weekend have surged by 40% compared to 2023, with Easter Sunday being the most popular date, showing a significant increase in reservations across the entire weekend…. Sector costs A number of costs have risen from the beginning of this month, not least the NLW. The Times reports that ‘the minimum wage changes will add £3.2 billion to hospitality payrolls, which account for more than half of the industry’s operating costs. Licensed businesses pay £40 billion in wages and employment costs, while increases in business rates will add another £224 million of costs to the hard-pressed industry.’ This will also put money in the pockets of would-be customers but, in the short term, it will be a cost to bear… More general trading: New GO Technology insights from CGA and Zonal, derived after a survey ‘of 5,000 nationally representative consumers’, finds that some 65% of consumers ‘say eating and drinking out is as important in their social life as it was before the cost-of-living crisis—rising to 71% of those aged 65 or over, for whom pubs, bars and restaurants have been a lifelong source of socialising’…. • 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 British Retail Consortium and Nielsen have reported that shop price inflation has fallen to its lowest level in over two years. The bodies report that prices rose by an annual rate of 1.3 per cent last month, down from 2.5 per cent in February… • 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. Mixed news elsewhere with some prices rising, others falling… • 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: Wine producers in Australia have expressed relief as China’s Ministry of Commerce has lifted punitive tariffs on Australian wine after a three-year dispute, effective from tomorrow. The tariffs, imposed in 2020, significantly impacted exports, causing a drastic drop in both value and volume of Australian wine exported to China. The Times reports that coffee prices have risen by ‘up to 30 per cent between 2021 and the start of this year, according to analysis by the global manufacturer UCC Coffee’ COMPANY NEWS: Revolution Bars Group has this morning announced that it was unable to publish its H1 numbers by the required date of 30 March 2023 and, as a result, the company is suspending its shares from trading on AIM. RBG says the ‘suspension from trading will be lifted with the publication of the Interim Results in due course…’ • 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. Sky News reports that Adnams is to ‘explore an outright sale amid a funding squeeze across the industry which has triggered a growing wave of insolvencies’. Sky reports that the company has ‘begun contacting prospective investors and buyers after hiring advisers earlier this year to shore up its finances’…. Separately, Adnams has announced that it has appointed Jenny Hanlon as Chief Executive Officer with effect from the conclusion of the Company’s Annual General Meeting to be held in June. Ms Hanlon is currently CFO. Outgoing DEO Dr Andy Wood will remain with the business until the end of the year. Liberation Group has taken the accolade as Best Managed Pub Company at this year’s Publican Awards. Amber Taverns is reported to be putting dartboards in all its pubs as a result of a surge in interest following the success of 17-year old Luke Littler. Brewer Fourpure is reported to have applied to undertake a CVA in what it says is a ’short term move’ to ensure its short term survival. Gail’s Bakery has refuted reports of investors preparing to sell the boutique café business, dismissing the claims as inaccurate. CEO Tom Molnar emphasised the company’s focus on its core activities of baking and serving coffee, denying any ongoing sale process…. Despite facing challenging macroeconomic conditions, Italian coffee roaster illycaffè achieved record growth in 2023, with a 6% increase in sales reaching €595.1m and notable growth in key markets such as the US, Italy, and China…. Scottish Licensed Trade News reports events management company Camm & Hooper will be launching Glasgow Platform, an iconic events space under Central Station bridge, next month…. Leeds-based brewer Northern Monk Brew Co. is reported to have completed a £500k improvement of its main brewery, enhancing brewing capacity by 20%, equivalent to 8,000 hectolitres or 1.4 million pints per year…. The owners of the Crooked House pub in Himley have lodged an appeal against an order mandating the reconstruction of the 18th-century establishment, which was razed following a fire last year…. Cooks Coffee Company has announced the appointment of Aiden Keegan as its new CEO, effective 1 April 2024. Mr Keegan was previously in various leadership roles within the coffee industry, including as Managing Director of Esquires UK. Cooks will focus on UK-centric growth and expanding the franchise network under Mr Keegan. Naked Wines has announced the appointment of Rodrigo Maza as Group Chief Executive Officer effective from today, the first day of the Group’s 2025 financial year. The company reports that ‘as planned, Rowan Gormley will now return to his previous role as non-executive Chairman and will continue to assist Maza and Paul with their handovers as necessary.’ HOLIDAYS, HOTELS & LEISURE TRAVEL: Travelodge has announced record-breaking full-year results, surpassing £1bn in revenue for the first time, driven by strong demand from both business and leisure travellers. The budget hotel group reported a 14.6% increase in EBITDA, reaching £243.9m, with peak trading days during events like Eurovision and Wimbledon contributing to its highest-ever revenue in London…. • 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. Faro airport in Portugal’s Algarve, is reported to have suffered major delays over the weekend that The Times reports impacted large numbers of British holidaymakers looking to fly home. OTHER LEISURE: Games producer Frontier Developments has this morning updated on trading saying that trading in recent weeks has been in line with expectations ‘with the largest contributions being provided by Frontier’s creative management simulation games, led by Jurassic World Evolution 2 and Planet Zoo…’ • 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. Gaming Realms plc has reported full year numbers to 31 December 2023 syaing that revenue rose by 26% to £23.4m with adjusted EBITDA up 29% to £10.1m. The company reports PBT up 47% at £5.2m. CEO Mark Segal says ‘we have had a promising start to 2024’ and adds ‘with this momentum, we are excited to continue delivering further game launches.’ Sky News reports social media platform X is to offer premium features for free to accounts with over 2,500 verified subscriber followers as Elon Musk announces further changes to the platform…. Shares in Truth Social, Donald Trump’s loss-making social media company, fell by over 20% on Monday. The company, which has revenues of around $4m, was valued at some $11bn in a spike following its IPO. FINANCE & MARKETS: Official stats released last week confirm that the UK did indeed enter recession in Q4 2023. Most observers believe that the economy should have exited already. The Ons says the economy contracted by 0.3 per cent in Q4 having fallen by 0.1% in Q3. Labour peer Lord Mandelson, when talking about the prospect of a referendum to rejoin the SU, has said that he does not think that ‘people are going to run towards a repeat of that experience.’ An additional 6% post-Brexit tariff will be applied to UK cars exported to Canada from 1 April. Canada is the UK’s 8th largest market for car sales. Sterling mixed over the long weekend at $1.2543 and €1,1684. Oil higher at $87.86. UK 10 year gilt yield unchanged at 3.93%. World markets mixed & London set to open down around 7 points 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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