Nichols (NICL)

Sector:

Beverages

Index:

FTSE AIM 50

968.00p
   
  • Change Today:
      2.00p
  • 52 Week High: 1,200.00
  • 52 Week Low: 882.00
  • Currency: UK Pounds
  • Shares Issued: 36.97m
  • Volume: 34,272
  • Market Cap: £357.86m
  • RiskGrade: 263

Nichols 2019 trading in line; reiterates 2020 warning

By Michele Maatouk

Date: Thursday 09 Jan 2020

LONDON (ShareCast) - (Sharecast News) - Vimto maker Nichols said on Thursday that pre-tax profit for the year to the end of December was set to be in line with market expectations but reiterated its warning from the end of last year that profit for 2020 could be materially below market expectations.
The drinks maker said revenue increased 3.6% over the year to £147.2m amid growth across all three areas of the business. UK sales rose 2.7% from the previous year to £117.7m, with Vimto brand sales 0.8% higher against a very strong prior year comparative and in line with the overall soft drinks market, Nichols said.

Out of Home sales were up 8.4% to £45.7m, driven by the acquisition of Adrian Mecklenburgh in February last year and new sales of the ICEE brand frozen beverage in the second half of the year.

International revenue grew 7.5% to £29.5m, with sales to the Middle East up 20.6% at £11.6m.

"In summary, the board is very pleased with the group sales performance and we currently anticipate full year profit before tax to be in line with market expectations," it said.

However, the outlook for 2020 was less cheery. Nichols said it remained in line with the trading update released on 23 December, in which the company warned that pre-tax profit would be "materially below" market expectations as sales take a hit from sugar taxes in the United Arab Emirates and Saudi Arabia.

It noted at the time that authorities there had implemented an excise tax of 50% to be levied on the retail price of non-carbonated sweetened drinks.

"This tax will be applied to all non-carbonated drinks containing either natural or artificial sweeteners, including sales of Vimto products. Therefore, unlike the UK soft drinks levy, product reformulation is not an option," Nichols said in the December update.

"Whilst it is difficult to estimate the future effect on sales volumes of the Vimto brand in these regions, at this point in time, we have to assume the increased retail price will have a negative impact from 2020."

At 1250 GMT, the shares were down 0.2% at 1,410p.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Nichols Market Data

Currency UK Pounds
Share Price 968.00p
Change Today 2.00p
% Change 0.21 %
52 Week High 1,200.00
52 Week Low 882.00
Volume 34,272
Shares Issued 36.97m
Market Cap £357.86m
RiskGrade 263

Nichols Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
93.52% below the market average93.52% below the market average93.52% below the market average93.52% below the market average93.52% below the market average
77.78% below the sector average77.78% below the sector average77.78% below the sector average77.78% below the sector average77.78% below the sector average
Price Trend
28.57% below the market average28.57% below the market average28.57% below the market average28.57% below the market average28.57% below the market average
40% below the sector average40% below the sector average40% below the sector average40% below the sector average40% below the sector average
Income
18.54% below the market average18.54% below the market average18.54% below the market average18.54% below the market average18.54% below the market average
33.33% above the sector average33.33% above the sector average33.33% above the sector average33.33% above the sector average33.33% above the sector average
Growth
14.81% above the market average14.81% above the market average14.81% above the market average14.81% above the market average14.81% above the market average
Sector averageSector averageSector averageSector averageSector average

What The Brokers Say

Strong Buy 0
Buy 3
Neutral 3
Sell 0
Strong Sell 0
Total 6
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Nichols Dividends

  Latest Previous
  Final Interim
Ex-Div 21-Mar-24 03-Aug-23
Paid 02-May-24 08-Sep-23
Amount 15.60p 12.60p

Trades for 28-Mar-2024

Time Volume / Share Price
16:44 9,822 @ 966.73p
16:35 2,649 @ 968.00p
16:35 456 @ 968.00p
16:35 24 @ 968.00p
16:35 103 @ 968.00p

Nichols Key Personnel

CEO Andrew Milne

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