Nichols (NICL)

Sector:

Beverages

Index:

FTSE AIM 50

1,015.00p
   
  • Change Today:
      15.00p
  • 52 Week High: 1,480.00
  • 52 Week Low: 972.00
  • Currency: UK Pounds
  • Shares Issued: 36.48m
  • Volume: 32,179
  • Market Cap: £370.23m
  • RiskGrade: 263

Vimto owner Nichols swings into the red

By Abigail Townsend

Date: Wednesday 02 Mar 2022

LONDON (ShareCast) - (Sharecast News) - Vimto owner Nichols reported a full-year loss on Wednesday, as the fallout from the pandemic continued to weigh heavily.
Group revenues rose 21.6% in the year to 31 December, to £144.3m, while adjusted operating profits jumped 88.1% to £21.9m. However, exceptional charges pushed the soft drinks manufacturer into the red. Pre-tax losses were £17.7m, compared to a pre-tax profit of £6.5m in 2020.

The AIM-listed firm, which sells in more than 73 countries and has a particular focus on the Middle East and Africa, took an exceptional charge of £39.5m against its out of home (OOH) business, which was hit particularly hard by the pandemic.

Revenues in OOH strengthened 77.4% year-on-year, but they remain 31.4% below pre-pandemic levels.

Chief executive Andrew Milne said: "The OOH drinks market has been significantly impacted by the pandemic, with the prolonged closure of many outlets.

"While recognising the hospitality trade has shown growth and is beginning to return to pre-Covid levels, it is doing so at a pace slower than previously forecast, and the margin progression after overheads anticipated previously is now not likely to be achieved without transformational change.

"Therefore a full strategic review into the group's OOH route to market has commenced."

Milne also said Nichols had struggled to maintain product availability in some markets. "Globally, we have seen a number of shortages on key ingredients, logistical challenges and insufficient labour availability in certain markets," he noted.

However, he added that overall, the brands had proved "very resilient" during the year. "Our continued focus on driving growth across a range of global markets throughout the year has proved beneficial."

Looking ahead, chair John Nichols said: "The group enters 2022 with excellent momentum and in a strong financial position. The group's adjusted pre-tax profit expectations for the year are unchanged, while we remain mindful of the well-publicised inflationary pressure which are now being realised.

"In the medium term, for 2023 we expect continued revenue growth, as well as inflationary and legislation cost pressure. We expect to see high single digit growth in group adjusted pre-tax profits versus 2022."

As at 1145 GMT, shares in Nichols were down 1% at 1,425.0p.

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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 1,015.00p
Change Today 15.00p
% Change 1.50 %
52 Week High 1,480.00
52 Week Low 972.00
Volume 32,179
Shares Issued 36.48m
Market Cap £370.23m
RiskGrade 263

Nichols Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
23.65% below the market average23.65% below the market average23.65% below the market average23.65% below the market average23.65% below the market average
55.56% above the sector average55.56% above the sector average55.56% above the sector average55.56% above the sector average55.56% above the sector average
Price Trend
45.25% below the market average45.25% below the market average45.25% below the market average45.25% below the market average45.25% below the market average
55.56% below the sector average55.56% below the sector average55.56% below the sector average55.56% below the sector average55.56% below the sector average
Income
88.44% below the market average88.44% below the market average88.44% below the market average88.44% below the market average88.44% below the market average
60.00% above the sector average60.00% above the sector average60.00% above the sector average60.00% above the sector average60.00% above the sector average
Growth
83.39% below the market average83.39% below the market average83.39% below the market average83.39% below the market average83.39% below the market average
100% below the sector average100% below the sector average100% below the sector average100% below the sector average100% below the sector average

What The Brokers Say

Strong Buy 0
Buy 1
Neutral 3
Sell 0
Strong Sell 0
Total 4
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Nichols Dividends

  Latest Previous
  Interim Final
Ex-Div 04-Aug-22 24-Mar-22
Paid 09-Sep-22 05-May-22
Amount 12.40p 13.30p

Trades for 07-Feb-2023

Time Volume / Share Price
16:36 2,500 @ 1,015.00p
16:05 139 @ 1,010.75p
15:21 348 @ 1,015.00p
15:21 2,500 @ 1,015.00p
15:07 400 @ 1,020.37p

Nichols Key Personnel

CEO Andrew Milne
CFO David Rattigan

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