McColl's Retail Group (LSE:MCLS) has found itself on the back foot on Monday following the release of full-year trading numbers.It was last 7% lower on the day.
At face value, the latest update from McColl's could be viewed as pretty impressive. The convenience store colossus saw total annual revenues burst through the £1bn milestone for the first time, it advised today (these jumped 19.1% during the 12 months to November 2017).
The revenues surge was thanks in no small part to the 298 outlets McColl's snapped up from The Co-Operative Group in the summer.
A strong set of interim results has led us to upgrade our EPS forecasts for FY18 by 5.0% and FY19 by 2.5%. Other than a weather-related hiccup in the smaller US activity, there was good like-for-like progress in Europe, Asia and the UK. Input cost pressures at the gross profit level were mitigated by strong overhead control. Investment for growth continues across all regions and the strong balance sheet should facilitate M&A as appropriate opportunities arise with management taking a more proactive approach in target identification. Trifast’s shares have been very strong in the run-up to the results and are rated more appropriately, in our view, with the P/E discount to peers substantially diminished.
CEO Mark Belton on strategy and performance joined by Chris Black discussing the opportunities in the automotive sector, and Keith Gibb on the advantages of 3D technical engineering to TR and it’s customers.
Velocys (LSE:VLS) has taken another pasting in Friday business after a less-than-welcome reception to latest trading details, the stock last 18% lower on the day and erasing all of the hard-won gains of recent weeks.
The renewable fuel specialist advised that revenues more than halved during the six months to June, to £234,000 from £509,000 in the same 2016 period. And pre-tax losses ballooned to £10.6m versus £7.7m previously.
You don't need fancy new technology to generate loads of cash. In fact, as a shareholder in Gillette, Warren Buffett used to sleep well thinking of those millions of men who'd be shaving every morning.
I was reminded of that when I read the latest trading update from Trifast (LSE:TRI) on Monday. The firm is in the business of mechanical fasteners, and I can't help wondering how many millions of those are sold every day.
In its half year pre close update Trifast has indicated that trading continues to perform in line with management expectations, confirming the trends noted in the AGM trading statement in July. With organic investment continuing to add capacity and capability, we expect modest growth in the current year despite the continuing financial and political uncertainty and FX-induced margin pressure in the UK.