Fishing Republic FISH Gone has all the hype of just a couple of months ago when Fish appears to have expected that its major competitors and independents would just roll over and let it take their business. How wrong could they be. Well so wrong that the CEO is departing today without notice after having been forced to admit that the competition had fought back so aggressively, to keep their market share, that sales at Fish plummeted in October by 13%, compared to the growth of 16% which it had been experiencing in the nine months to the end of September. Customers also stubbornly remained loyal to their existing suppliers and did not migrate to Fish’s web site in anything like the expected numbers. Trading for the full year will not now meet expectations and even worse, the company expects to make an overall loss.
Ultra Electronics ULE has been experiencing difficulties in the UK market and these have got worse as the second half has progressed, mainly due to the Ministry of Defence which has faced mounting problems in funding UK defence programmes. The result has been seen in numerous delays, cancellations and pauses. In addition increased investment has been required for new contracts which have been awarded, with the result that underlying operating profit for the full year is now expected to be about £120m. The board is now pondering on paying a final dividend of about 35p. per share.
Taylor Wimpey TW has enjoyed a strong second half, with demand for new houses being robust and market conditions favourable. Further growth and performance improvement is expected for 2018, with 2017’s remaining in line.
Ladbroke Coral Group LCL produced an overall rise of 3% in net retail revenue for the 4 months to the end of October, which he company claims saw positive trading and a strong digital performance. Europe took on the bad habits of the British with a 17% rise in net revenue followed by a strong performance from Digital with a rise of 12% but the UK lagging behind with a fall of 1%, which at least was an improvement on the year to date’s drop of 4%.