Tuesday preview: Ted Baker to report first half profit growth despite Brexit

Ted Baker is expected to report on Tuesday an increase in first half pre-tax profits as the luxury fashion brand continues to grow on an international level.

The company is forecast to report pre-tax profit of between £19m and £21m, compared to £17m the same period a year earlier, despite the Brexit vote weighing on consumer confidence in the UK.

Since Ted Baker generates 40% of its sales abroad, with 448 stores across the globe, the company is less likely to be affected by the weaker pound.

Analysts at Exane BNP Paribas also noted that Ted Baker has delivered consistent growth for almost 30 years.

“Proven internationally and competing in the attractive and less crowded accessible luxury space, we believe Ted looks well set to capture the global opportunity and deliver superior returns," the broker said.

While Exane expect sales in Britain to be considerably slower over the next five years, it sees North American sales more than doubling in the next five years to £185m.

In a June trading update, Ted Baker reported an 11.3% increase in group revenue for the 19 weeks to 11 June 2016, supported by a 32.3% jump in its e-commerce business. During the period the retailer launched its first language specific website in Germany.

Retail sales grew 12.7% and the average square footage rose by 9.7% to 379,245 sq ft. The company opened stores in Beijing, Ottawa and Seattle.

Tuesday 11 October

INTERIMS
LiDCO Group, Redstoneconnect, Ted Baker

INTERIM DIVIDEND PAYMENT DATE
Holders Technology, JPMorgan American Inv Trust, UBM

INTERNATIONAL ECONOMIC ANNOUNCEMENTS
ZEW Survey (EU) (10:00)
ZEW Survey (GER) (10:00)

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Genedrive , Nanoco Group, River and Mercantile Group , Volution Group (WI)

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River and Mercantile Group

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Pagegroup

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Fondul Proprietatea S.A. GDR (Reg S)

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Tricorn Group