Agenda: Primark, Boohoo and DFS update the market

Tuesday

Boohoo posts a trading update.The online fashion retailer said since its half-year end “trading remained strong” with a record performance across the Black Friday weekend.

Its full-year outlook is “comfortably in line with market expectations” and the recently acquired brands Miss Pap, Karen Millen and Coast, now fully integrated on to the fashion platform, have been “very well received”.

DFS will post a trading update. The furniture retailer reported an increase in its underlying profit before tax and hailed the progress made following the launch of its new strategy, despite the headwinds facing the sector.

The furniture retailer recently changed its accounting year-end date from July 31 to June 30 and as a result, published both figures for the 48 weeks to June 30 and pro forma 52 weeks to July 31.

Its pro forma 52 weeks underlying profit before tax was up 31.1% to £50.2m. However, profit before tax in the 48 weeks was £22.4m, a 13.1% decrease year on year, albeit against a 52-week period.

Wednesday

Quiz updates the market. The fast-fashion brand swung to a loss before tax and seen its underlying EBITDA more than halve in a “continued challenging market”.

In the six months to September 30, 2019, the brand reported a loss of £6.8m, down from a profit of £3.8m for the same period in 2018.

Underlying EBITDA fell 54% to £2.7m, and underlying profit before tax fell 85% to just £0.6m. Quiz also reported a 5% fall in group revenue to £63.3m, down from £66.7m the previous year.

EBITDA inched up 4% to £5.8m, while sales from UK stores and concessions plummeted 11% to £31.3m.

Thursday

Several retailers post-Christmas trading updates including Halfords, Moss Bros and N Brown.

The Works posts its interim results and Christmas trading update. The general merchandise retailer issued a profit warning in its half-year trading update, as a “challenging consumer backdrop” and strong comparable hit its like-for-like sales.

The value toy retailer recorded a 5.4% uplift in total revenue in the 26 weeks to October 27, but like-for-like sales were down 3.6%.

As a result, the retailer said it “is taking a more cautious view on trading ahead of the Christmas trading period and, as such, the board now expects full-year profit before tax to be significantly below current market expectations”.

Primark owners Associated British Foods updates the market. The fashion retailer has posted an increase in full-year profits and set its sights on further international expansion, despite declining like-for-like sales. Operating profit at the retailer jumped 8% to £913m in the year to September 14.

Same-store sales dipped 1% in the UK and 2% across the wider Primark business. But total sales advanced 4.2% at actual exchange rates to £7.79bn, driven by new store openings.

In the UK, where ABF said it had been “encouraged” by the response to its new-look Primark Birmingham store, total sale climbed 2.5%.