The makers of high-end mixer drinks Fevrtree published full year results this morning. Whilst growth in Europe was lacking, US and ROW markets saw expansion resulting in a year-on-year group revenue uptick of 4%. The adjusted EBITDA margin improved by 530 basis points and this has helped deliver a £96m improvement in working capital. Management is extending the share buyback by a further £29m and market guidance remains intact, with transformation in the US market following a tie up with Molson Coors expected to weigh, but investors are happy with the assessment. The Fevertree share price was up almost 8% shortly after the open.
The specialist small-cap brick manufacturer Michelmersh published full year results this morning. A 9.3% fall in revenues has hit margins and profitability, close on halving the cash position to £6m. Management note a highly competitive pricing environment but say they are maintaining market share and that the positive order intake momentum from the end of FY24 was carrying into the new trading year. The outlook here is clearly tied to the wider construction industry, but management are optimistic that the business is well placed for the future. The market however seems less convinced, with the Michelmersh share price down 4% in early trade.
Retailer Kingfisher issued its full year numbers today. Sales were down a fraction and despite gross margins improving, operating profits fell by almost a third. The dividend has been maintained and management were keen to note growing market share across all regions, but it’s the outlook of rising labour costs in both France and the UK, plus the wider fall out on consumer sentiment, that is really weighing. Operationally the company is seen as being on a strong footing but the near term profit outlook remains challenging. Despite a further £300m share buyback being announced, the response has been underwhelming. The Kingfisher share price was down more than 12% by 8.30am.
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