UK's Card Factory slips to near two-month low after HY profit slump
24/09/2024 10:50
** Shares of Card Factory CARDC.L fall as much as 21.5% to
112.2p, their lowest since July 26
** Stock top pct loser on FTSE Small Cap .FTSC index
** Co, a specialist retailer of greeting cards, gifts and
celebration essentials, posts 34.4% fall in first half adjusted
pre-tax profit
** Cites surge in costs due to National Living Wages
increase, freight inflation and phasing of strategic investments
** Tough year-ago comparative for HY earnings; Card Factory
doubled its HY24 profit last year
** CARC, however, retains FY25 profit expectations and
recommences interim dividend of 1.2p
** Annual earnings of greeting card firms typically heavily
weighted towards H2 of the calendar year, driven by the busy
Christmas and New Year season sales
** Card Factory says net debt rose by 3 mln pounds Y/Y in
six-month period ended July 31
** Stock down 18% at 0942 GMT, taking YTD gains to ~9%
($1 = 0.7486 pounds)
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Card Factory gains https://tmsnrt.rs/3XEVuK4
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(Reporting by Aby Jose Koilparambil in Bengaluru)
((abyjose.koilparambil@thomsonreuters.com))