Agenda: Morrisons, DFS and French Connection update the market

Brexit vote

MPs will vote on the Prime Minister’s Brexit negotiations on Tuesday, March 12.

A total of three votes are due to take place over the course of three days starting on Tuesday. The first will be a meaningful vote on approving Theresa May’s deal. If that doesn’t go through then a second vote will take place the following day on whether the UK leaves Europe without a deal.

If the no-deal vote is rejected then a third vote will take place on Thursday, March 15. MPs will then have to decide whether to extend Article 50 and in turn delay the UK’s exit from the European Union.

If all three votes fail and no alternative is agreed by March 29, the UK will leave the European Union without a deal.

French Connection

French Connection will post its full-year results on Tuesday.

Although the fashion brand reduced its underlying operating pre-tax losses to £5.4m during the six months to July 31, 2018 according to founder, chairman and chief executive Stephen Marks, the business is “on track” to achieve profitability this year.

After the retailer’s last set of results in September last year he said: “We remain on target to return the business to profitability this year and we will be doing everything we can to ensure that happens.”

Morrisons

Morrisons will post its full-year results on Wednesday, March 13.

The grocer had a strong Christmas trading period with group like-for-likes, excluding fuel, up 3.6% in the nine weeks to January 6.

Retail comprised 0.6% of the increase, and wholesale – Morrisons sells to retailers including Amazon – accounted for 3%. Total sales climbed 4% excluding fuel.

The Retail Week Awards

Get your glad rags on for the retail event of the year on Thursday, March 15. 

This year will see comedian Sue Perkins as host at the stunning Grosvenor House hotel in Mayfair.

The awards are a great opportunity to celebrate your success from throughout the year with colleagues, customers and the rest of the retail world.

Expanding on last year’s new additions, 2019 will see “Retail Destination”, “Global Impact”, “Health and Beauty Retailer” and the “Retail Activist” awards added.

DFS

DFS will release its half-year results on Thursday.

The sofa specialist posted sales growth of 10% over a five-month period, despite what it described as a “challenging consumer environment”.

The furniture retailer registered growth across all of its brands and a 22% growth in terms of gross online sales.

DFS said profit expectations for the full year were unchanged, but it cautioned: “We are mindful of the risk of near-term political and economic uncertainty.”

It highlighted the risk that Brexit “may pose to consumer confidence and lead times for the proportion of our made-to-order products that we source overseas”.

John Lyttle takes the helm at Boohoo

John Lyttle starts his role as chief executive of Boohoo on Friday, March 16.

Lyttle has been Primark’s chief operating officer for eight years but last September Boohoo poached him for the chief executive position.

Joint chief executives Mahmud Kamani and Carol Kane will take new boardroom roles. Kamani will become group executive chairman and co-boss Carol Kane will also remain on the board and will take on the title of group co-founder and executive director.

Kamani said:  “We have got to know John over a number of years and are convinced he has the necessary skills to complement what we already have and take the group on to its next stage of growth.

“Both of us remain totally committed to the business and will ensure a measured and careful handover.”