European Indices are expected to open higher on Wednesday as investors await U.S. inflation data. The FTSE 100 is trading up 0.09%, whilst the FTSE 250 has been flat so far this morning.
As for UK stocks, ASOS announced its interim results, JD Wetherspoons provided a Q3 trading update and TUI reported its half-year results.
ASOS announced its interim results for the six months to 28 February, which saw the group report weaker revenue but remain on track to deliver full year targets. Chief Executive Jose Antonio Ramos Calamonte stated: “Our focus is on improving our core profitability, prioritising order economics over top-line growth and I am pleased with the strategic and rapid operational progress the business has made in the first half of the financial year.”
- Revenue fell 8% in H1, reflecting a challenging trading backdrop.
- Meanwhile, UK sales were down 10%, Europe remained flat, US fell 7%, and the RoW declined 12%.
- The group reported a loss before tax of £290.9m, which ASOS says was primarily relating to the execution of the Driving Change agenda.
- ASOS stated sales in P2 has broadly continued into March and April, leading the retailer to anticipate sales decline in the low double digits.
Wetherspoon provided its Q3 trading update on Wednesday for the 13 week period to 30 April. The chairman of JD Wetherspoon, Tim Martin said: “Lockdowns and associated restrictions have had more profound and longer-lasting consequences than most economists, politicians and commentators predicted. Sales in the last quarter have continued their positive momentum, although inflation, especially in labour, energy and food costs, remains a more intractable issue.”
- Like-for-like sales increased 12.2% compared to FY22.
- The retailer reported that sales in Easter week were the highest ever for the company, and sales in the current year are likely to be a record.
- The company anticipates profits in the current financial year to be towards the top of market expectations.
TUI announced results for H1 to the end of 31 March. Q2 saw underlying EBIT of €-242.4m, delivering strong improvement YoY and strong booking momentum into the summer seasons.
- TUI stated 2.4m customers enjoyed a holiday with them in the quarter, an increase of 0.6m, increasing average load factor to 93%.
- Group revenue of €3.2bn was up on the €2.1bn in Q2 2022.
- The group remains confident, with a total of 12.9m bookings taken across the winter and summer seasons.