News blog

AIM 50 Digest 2 June 2023

  • BY: Andrew Hore |
  • POSTED: 04/06/2023 |

Fevertree Drinks (FEVR) continues to lose market share in the UK on-trade, but US sales are growing. Profit forecasts have been trimmed, although Fevertree has reiterated its guidance of revenues between £390m and £405m. EBITDA guidance is maintained at between £36m and £42m, but the forecasts are moving towards the lower end of the range. Cost inflation remains a problem. The full year pre-tax profit forecast has been cut from £28m to £26.8m, down from £31m last year, which would mean that profit has more than halved over two years. The dividend forecast is still 16.9p a share, which is only just covered by forecast earnings.
=====
Watkin Jones (WJG) says that although institutional interest in investment in development projects is improving the company is cautious about the outcome for the year. The second half will be better than the first half, where there was a small profit, but full year pre-tax profit forecasts have been cut from £48m to £26m. There are five potential forward-fund deals, but they may not all be signed this year. The funding of the deals is also changing meaning that more of the cash will be paid at a later stage of development.
=====
There are signs of improvement at Victorian Plumbing (VIC). Interim revenues were 10% ahead and gross margins improved. Lower marketing spending helped to improve pre-tax profit. Own brands are becoming increasingly important. Peel Hunt forecasts a full year pre-tax profit recovery from £15.7m to £17.9m.
=====
Young and Co Brewery (YNGA) generated 4.8% like-for-like sales growth in the past seven weeks with the strongest growth in the most recent weeks. Trading has been particularly strong in London. In the 53 weeks to 3 April 2023, revenues rose 19% to £368.9m, while pre-tax profit was 8% higher at £45.2m. Net debt was £165.2m. Chief executive Simon Dodd bought 3,087 non-voting shares at 809.46p each.
=====
Impax Asset Management (IPX) interim profit was slightly below expectations and operating profit was one-fifth lower at £27.3m. Even so, the interim dividend has been held at 4.7p a share. Assets under management increased by 14% over the period to £40.1bn.
=====
All three divisions of aquaculture company Benchmark (BMK) improved their performance in the first half. The fastest growth was in the health division helped by growth in Ectosan Vet and Clean Treat sales. Group revenues were one-quarter ahead at £98.9m, while the underlying pre-tax profit was £9.46m.
=====
Mortgage markets remain tough, but Mortgage Advice Bureau (MAB1) is outperforming with maintained levels of mortgage completions. Adviser numbers have stabilised. Market share could reach 10% this year.
=====
Peel Hunt expects annualised recurring revenues of FD Technologies (FDP) to grow in 2023-24 by more than one-third this year. The growth is coming from the KX software business. This should enable the company to return to profit.
=====
ITM Power (ITM) says full year revenues will be ahead of guidance of £2m, while the EBITDA loss will be between £90m and £95m. Net cash was £281m at the end of April 2023. That is better than expected.
=====
Ceres Power (CWR) has set in motion its move to the premium list. The move is planned for the end of June and the company could be eligible for the FTSE 250 index. Ceres Power joined AIM on 25 November 2004 and the issue price was 120p (1200p after a ten-for-one share consolidation in August 2018)
=====
Pan African Resources (PAF) lowered its gold output guidance - due to power availability problems and a slower production ramp up at Barberton Mines - to around 175,000 ounces. The 2022 production was 205,459 ounces. A rise in the gold price and positive currency movements have offset some of this production disappointment. The dividend will be maintained, while debt continues to be reduced.
=====
In the quarter to April, self-storage sites operator Lok’nStore (LOK) improved like-for-like revenues by 13.2%. That is better than the first half figure of 11.2%. The new Bedford store has traded well. The lease of the Eastbourne store has been extended. A new managed store in Wirral has been added to the pipeline and that will open later next year.
=====
Big Technologies (BIG) says trading in the first four months of the financial year and Zeus believes that the tracking technology company can meet the 2023 pre-tax profit of £28.9m without signing up significant new customers. There is a potentially large contract that could lead to an upgrade to 2024 forecasts.
=====
Alliance Pharma (APH) is trading in line in the first four months of the year. Kelo-Cote sales are building up and growth is expected to be 20% this year. The comparatives are relatively weak.
=====
Ticketing technology company accesso Technology (ACSO) has agreed a $40m revolving credit facility up until May 2027. This replaces a$18m undrawn facility. The facility could fund acquisitions.
=====
Pantheon Resources (PANR) has still to receive the cash from the recent subscription of 8.78 million new shares at 17p each. The Alaska-focused oil and gas explorer has been awarded 39,540 acres, some of which is near to existing company acreage. 
=====
Central Asia Metals (CAML) non-exec Dr Gillian Davidson acquired 10,119 shares 197.5p each and fellow non-exec David Swan bought 5,000 shares at 201p each. Keywords Studios (KWS) non-exec Marion Sears acquired 1,000 shares at 2132.94p each. MP Evans (MPE) non-exec Michael Sherwin acquired 2,500 shares at 816p each. Nichols (NICL) executive chair Liz McMeikan purchased 3,000 shares at 983p each. 

© 2024 Aim Micro. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Browse by issue
All issues
Popular tags
All tags

betbrokers, financial, gold, health, leisure, media, mobile, resources, services, technology

AIM Micro feeds

Keep up to date with articles published at AIMMicro.com. Subscribe to AIM Micro RSS Feeds