Market Prognosis

A concise summary of the major macro events of the past 24 hours, and selected UK company-specific news.

<< Back to Market PROGnosis archive

May 14, 2024

Sticky UK wage growth a concern for MPC


UK unemployment rose marginally in March to 4.3%, while average earnings increased at the same rate of 5.7% over the three months to March. 

This latter figure will cause concern among the BoE rate-setters as wages feed through to inflation.   

Screenshot 2024-05-14 083124

UK Companies

Angling Direct reported revenue increased by 10.2% to £81.7m, including record UK sales of £77.4m, helped by developing its own brand offer. Q1 FY25 sales increased by 4.0% despite the suboptimal weather. It has set new medium-term financial objectives, including a UK business generating £100m annual revenues and EBITDA over £6m and moving the European business through to break-even.

Treatt, the supplier of natural extracts and ingredients, reported H1 results that align with expectations, an improving outlook, and a growing order pipeline.  

Headlam, the flooring distributor, warns that it has not seen the usual seasonal uplift and is lowering its guidance materially. It reduces costs, which will realise a cash benefit from disposing of surplus property and reducing working capital.

Currys has raised guidance for the FY based on a stronger-than-expected recovery in its Nordic region. 

This communication is provided for information purposes only, and is not a solicitation or inducement to buy, sell, subscribe, or underwrite securities or units. Investors should seek advice from an Independent Financial Adviser or regulated stockbroker before making any investment decisions. Progressive Equity Research Ltd (“PERL”) does not make investment recommendations.

Opinions contained in this communication represent those of PERL and/or our affiliates at the time of publication and PERL does not undertake to provide updates to any opinions or views expressed. PERL does not hold any positions in the securities mentioned in this communication, however, PERL’s directors, officers, employees, contractors and affiliates may hold a position,  and/or may perform services or solicit business from, any of the companies or related securities mentioned.

Any prices quoted in our research are as at the previous day’s close.