ADVFN UK Market News

Author: Fiona Craig

  • Ramsdens raises profit guidance again as diversified businesses continue to perform strongly (RFX)

    Ramsdens raises profit guidance again as diversified businesses continue to perform strongly (RFX)

    Ramsdens Holdings (LSE:RFX) has upgraded its full-year profit expectations for a second time, citing continued strong trading across its diversified operations despite recent fluctuations in gold prices. The improved outlook comes as the company progresses the recommended cash acquisition by FirstCash’s Bidco subsidiary and updates its forecasts in connection with the proposed scheme of arrangement.

    Strong trading supports higher earnings outlook

    The board now expects profit before tax for FY2026 to be between £32 million and £35 million, reflecting stronger-than-anticipated trading across several of the group’s core business lines.

    Performance has been supported by elevated gold prices, continued demand for pawnbroking loans, resilient jewellery sales and higher foreign currency exchange volumes. Travel-related demand also benefited from Scotland’s and England’s participation in the FIFA World Cup, contributing to increased currency transactions.

    The latest guidance upgrade highlights the resilience of Ramsdens’ diversified operating model, with strength across multiple revenue streams helping to offset volatility in individual markets.

    Diversified model continues to drive growth

    Alongside favourable trading conditions, the company has continued to expand its loan book, benefiting from sustained demand for secured lending services.

    Activity within its precious metals business has also exceeded expectations, while its ongoing store expansion programme continues to support future earnings growth. Management believes these factors will provide momentum into the next financial year and further strengthen the business ahead of the proposed takeover.

    The updated guidance follows the previously announced recommended acquisition by FirstCash and forms part of the board’s revised financial assessment during the transaction process.

    Investment outlook

    Ramsdens continues to demonstrate strong operational performance, supported by improving profitability, multiple revenue streams and an attractive valuation relative to earnings. The group’s diversified business model has helped reduce dependence on any single source of income while allowing it to benefit from favourable conditions across pawnbroking, jewellery retail, foreign exchange and precious metals.

    Although technical indicators remain positive following a sustained share price rally, momentum measures suggest the shares have become relatively overbought, which may temper near-term upside despite the improved earnings outlook.

    About Ramsdens Holdings

    Ramsdens Holdings is a UK financial services and retail group offering foreign currency exchange, pawnbroking, precious metals trading and the sale of new and pre-owned jewellery. Headquartered in Teesside, the company operates 175 stores across the UK alongside an expanding online platform and is authorised by the Financial Conduct Authority to provide pawnbroking, credit broking and payment services.

  • Dunelm delivers steady sales growth as digital expansion and new stores support performance (DLMN)

    Dunelm delivers steady sales growth as digital expansion and new stores support performance (DLMN)

    Dunelm Group (LSE:DLMN) delivered another year of resilient growth, with higher sales, stable profitability and continued investment in its digital platform and store estate. The homewares retailer maintained strong cash generation despite a challenging consumer backdrop, leaving full-year profit broadly in line with market expectations while continuing to return significant capital to shareholders.

    Sales and digital channels continue to expand

    Full-year sales increased 3.1% to £1.83 billion, supported by steady customer demand and continued growth across digital channels, which accounted for 42% of total revenue during the year.

    Gross margin improved slightly to 52.5%, while disciplined cost management helped offset inflationary pressures. Strong cash generation enabled Dunelm to fund ongoing capital investment, pay £141 million in dividends and still finish the year with a modest net cash inflow.

    Management said full-year profit before tax is expected to be broadly in line with market forecasts, reflecting another year of consistent operational execution.

    Investment in stores and technology continues

    Dunelm continued to expand its physical retail network by opening a new 34,000-square-foot superstore in Kingston-upon-Thames and relaunching its refurbished St Albans store.

    The company also indicated that its pipeline of new store openings for FY27 is expected to be at the upper end of its medium-term target range, underlining confidence in further expansion opportunities.

    On the digital side, Dunelm introduced a beta version of an AI-powered shopping assistant within its mobile app, aimed at improving customer engagement and enhancing the online shopping experience.

    Management believes the group’s leadership position in the fragmented UK homewares market provides significant opportunities for future growth, with a broader strategic update scheduled for September.

    Investment outlook

    Dunelm continues to demonstrate resilient financial performance through consistent revenue growth, stable margins and strong cash generation. The combination of digital investment, store expansion and disciplined capital allocation supports confidence in the company’s long-term growth strategy.

    The shares also benefit from an attractive valuation, supported by a relatively low earnings multiple and a strong dividend yield. However, weaker technical indicators and slower free cash flow growth remain factors that investors will continue to monitor.

    About Dunelm Group

    Dunelm Group is the UK’s leading homewares retailer, offering more than 100,000 products across categories including furniture, textiles, kitchenware, lighting, outdoor living and home accessories. Founded in 1979, the company operates 204 stores alongside a growing online platform featuring home delivery and Click & Collect services. Its predominantly own-brand product range, value-focused proposition and in-store Pausa coffee shops have helped establish Dunelm as one of the UK’s largest home furnishing retailers.

  • Capital Limited reports record first-half revenue as mining services expansion continues (CAPD)

    Capital Limited reports record first-half revenue as mining services expansion continues (CAPD)

    Capital Limited (LSE:CAPD) delivered record first-half revenue as strong growth across its drilling, mining and laboratory services businesses offset the impact of contract exits in Mali and the United States. The mining services group also reaffirmed its full-year revenue guidance, supported by expanding operations and continued investment in higher-return projects.

    Record revenue driven by diversified growth

    Second-quarter revenue reached a record $117.3 million, while first-half revenue increased 37.6% year on year to $219.0 million. Growth was supported by strong performances across Capital Drilling, Capital Mining and MSALABS, highlighting the benefits of the group’s diversified business model.

    Capital is also reallocating equipment and capital previously deployed on discontinued contracts in Mali and the US towards projects offering stronger long-term returns. Although these changes will result in one-off demobilisation costs, management maintained its full-year revenue guidance of between $410 million and $440 million.

    The company also continued to deliver solid operational safety performance during the period.

    New contracts and expansion support outlook

    Capital Drilling benefited from higher fleet utilisation and improved revenue per rig, supported by new contracts across Côte d’Ivoire, Guinea, Egypt and Tanzania. These gains helped offset the planned wind-down of work at Nevada Gold Mines and the Sadiola project.

    Within Capital Mining, work at the Reko Diq project continued broadly in line with expectations despite a slower development schedule, while waste mining activities at the Sukari mine expanded faster than originally anticipated.

    MSALABS also continued to grow its global footprint through the launch of new laboratories and a joint venture in Pakistan, strengthening its position in the mining laboratory testing market. In addition, the company’s portfolio of strategic mining investments outperformed broader sector benchmarks during the period.

    Investment outlook

    Capital Limited continues to benefit from strong revenue growth, healthy operating profitability and an improving balance sheet. The group’s strategy of shifting resources towards higher-margin projects and expanding its laboratory services business provides additional opportunities for long-term earnings growth.

    Although technical indicators remain relatively weak, the shares trade on an attractive valuation based on earnings, while improving operational performance and a diversified project pipeline support the company’s longer-term investment case.

    About Capital Limited

    Capital Limited is a London-listed mining services company providing drilling, mining and laboratory testing services to gold and base metals producers across emerging mining regions. Its operations are organised through three core divisions—Capital Drilling, Capital Mining and MSALABS—and are complemented by a portfolio of strategic equity investments in junior mining companies. The group has a growing presence across West Africa, North Africa, Pakistan and other international mining markets.

  • DFS Furniture increases profits and strengthens balance sheet despite weaker market conditions (DFS)

    DFS Furniture increases profits and strengthens balance sheet despite weaker market conditions (DFS)

    DFS Furniture (LSE:DFS) expects to deliver significantly higher profits for FY26 after improving margins, maintaining disciplined cost control and generating strong cash flow, despite softer demand across the UK furniture market during the second half of the year. The retailer also reduced debt substantially, strengthening its financial position as trading conditions became more challenging.

    Higher profits supported by margins and cost discipline

    The company expects underlying profit before tax, excluding brand amortisation, to reach approximately £45 million for FY26, representing an increase of around £15 million compared with the previous year and falling within its upgraded guidance range.

    Revenue increased 2.7% during the year, while higher gross margins and continued cost management helped drive improved profitability. Strong free cash flow also enabled DFS to reduce net bank debt to approximately £69 million, lowering leverage to 0.9 times.

    Alongside its financial performance, the group continued investing in its technology platforms and workforce, resulting in record customer Net Promoter Scores and significantly higher employee engagement.

    Softer demand weighs on second half

    Trading conditions became more difficult during the second half as weaker consumer confidence and lower housing transaction volumes reduced demand for furniture purchases.

    Full-year order intake declined 1%, although management noted that performance remained broadly in line with the wider market. The company believes its leading market position, previous cost-saving initiatives and stronger balance sheet have improved its ability to navigate a subdued consumer environment.

    Despite current market pressures, DFS reaffirmed its medium-term objectives of achieving £1.4 billion in annual revenue and an 8% profit-before-tax margin, positioning the business to benefit when consumer demand recovers.

    Investment outlook

    DFS enters the new financial year with stronger profitability, improved cash generation and a significantly healthier balance sheet following meaningful debt reduction. Continued investment in customer experience and operational efficiency also provides a solid platform for future growth.

    While near-term demand remains constrained by the weak housing market and cautious consumer spending, the company’s market leadership and strengthened financial position leave it well placed to benefit from an eventual recovery. Technical indicators remain weak, although improving fundamentals could support sentiment over the longer term.

    About DFS Furniture

    DFS Furniture plc is the UK’s leading retailer of upholstered furniture, operating through the DFS and Sofology brands across the United Kingdom and the Republic of Ireland. The group sells sofas and living room furniture through an integrated network of retail stores and online channels, supported by in-house manufacturing, strategic supplier partnerships and its specialist delivery business, The Sofa Delivery Company. Its vertically integrated model enables the company to combine product development, retailing and distribution while maintaining a strong position in the UK upholstery market.

  • Frasers Group grows revenue and retail profits as international expansion accelerates (FRAS)

    Frasers Group grows revenue and retail profits as international expansion accelerates (FRAS)

    Frasers Group (LSE:FRAS) delivered strong revenue growth and higher retail profitability during FY26, with overseas expansion continuing to drive performance. The retailer also improved gross margins and advanced its international growth strategy through acquisitions, new store openings and strategic investments, despite reporting lower adjusted pre-tax profit due to higher impairment charges and financing costs.

    International growth drives stronger retail performance

    Group revenue increased 8.7% to £5.33 billion during the financial year, supported by a 59.2% increase in international retail sales as Frasers continued to expand its global presence.

    Retail gross margin improved by 150 basis points, reflecting a greater contribution from higher-margin businesses including Sports Direct and Flannels. Retail trading profit rose 22.1% to £912.5 million, while UK Sports trading profit increased 17.6%, highlighting continued strength in the company’s core operations.

    Adjusted profit before tax declined during the year, however, as higher impairment charges and increased interest costs outweighed gains generated through strategic investments. The group also completed the disposal of its non-core Coventry Arena asset as part of its ongoing portfolio optimisation.

    Expansion strategy gathers momentum

    Frasers continued to execute its Elevation Strategy by strengthening both its international retail footprint and investment portfolio.

    During the year, the company opened a flagship Sports Direct store in Liverpool, acquired Holdsport in South Africa and Nordic retailer XXL, and expanded into additional international markets including Malta, Australia and the Middle East.

    The group also increased its exposure to the premium retail sector through an investment in US luxury retailer The Webster, additional UK retail property acquisitions, and larger shareholdings in HUGO BOSS and Accent Group.

    Alongside its retail expansion, Frasers continued to grow its Frasers Plus financial services offering and secured a new £3.3 billion loan and revolving credit facility to support future international growth initiatives.

    Investment outlook

    Frasers Group continues to demonstrate strong operational execution, supported by improving retail margins, growing international sales and a diversified portfolio of retail, property and strategic investments.

    Although higher financing costs and impairment charges weighed on statutory profitability, the underlying performance of the retail business remained robust. While technical indicators currently point to weaker market momentum, the shares continue to appear attractively valued relative to the company’s long-term growth prospects and expansion strategy.

    About Frasers Group

    Frasers Group is a UK retail group operating across sports retail, premium fashion and international multi-brand retailing. Its portfolio includes Sports Direct, Flannels and several other retail brands, alongside a growing international business, the Frasers Plus financial services platform, and an extensive commercial property and strategic investment portfolio that supports its omnichannel growth strategy.

  • Experian delivers strong first-quarter growth as AI and fraud solutions fuel momentum (EXPN)

    Experian delivers strong first-quarter growth as AI and fraud solutions fuel momentum (EXPN)

    Experian (LSE:EXPN) began its 2027 financial year with solid revenue growth, supported by continued demand for its AI-powered analytics, fraud prevention and data services. Growth was broad-based across the group’s geographic markets and business segments, reinforcing the strength of its technology platform and expanding portfolio of data-driven solutions.

    Broad-based growth across global markets

    First-quarter revenue increased 10% at actual exchange rates, 8% at constant currency and 7% on an organic basis, in line with the company’s guidance.

    North America, which accounts for around two-thirds of group revenue, delivered 7% organic growth. The region benefited from double-digit expansion across business-to-business operations, including Ascend analytics, fraud prevention, automotive and healthcare solutions. Consumer Services declined, reflecting the planned wind-down of major data breach-related contracts.

    Latin America remained one of the strongest-performing regions, with organic revenue rising 12%. Growth was driven by robust demand for credit and fraud solutions in Brazil, alongside the contribution from digital identity specialist idwall following its acquisition.

    In the UK and Ireland, organic revenue increased 5%, supported by demand for KYC360 services and new credit-scoring products. Meanwhile, Europe, the Middle East, Africa and Asia Pacific recorded more modest growth against a particularly strong comparative period that included significant software deliveries in the prior year.

    AI and analytics remain key growth drivers

    Business-to-business operations continued to outperform, with Financial Services and Verticals delivering 9% organic growth as demand remained strong for analytics, credit risk and fraud management solutions.

    Consumer Services also continued to expand overall, helped by strong subscription growth in several core markets and particularly robust performance across Latin America.

    Management left its full-year guidance unchanged, signalling confidence that continued investment in artificial intelligence, identity verification and fraud prevention technologies will support further growth while strengthening Experian’s competitive position.

    Investment outlook

    Experian continues to benefit from profitable revenue growth, improving cash generation and a resilient business model built around recurring demand for data and analytics services. Ongoing investment in AI-enabled products and digital identity solutions provides additional opportunities for long-term expansion.

    Although the shares currently trade around fair valuation levels and technical indicators remain relatively weak, the company’s consistent execution, strong cash conversion and disciplined capital allocation continue to support its investment case.

    About Experian

    Experian is a global data and technology company providing information, analytics and software solutions across lending, fraud prevention, healthcare, digital marketing and automotive markets. Listed on the London Stock Exchange and a constituent of the FTSE 100, the company operates in 33 countries, serving businesses, financial institutions, governments and consumers with data-driven decision-making tools.

  • Empire Metals introduces performance-based long-term incentive plan for employees and directors (EEE)

    Empire Metals introduces performance-based long-term incentive plan for employees and directors (EEE)

    Empire Metals (LSE:EEE) has launched a new Long-Term Incentive Plan (LTIP) designed to align management and employee rewards with shareholder value creation. The scheme includes a combination of nil-cost share awards and share options granted to directors, senior management and employees, representing approximately 2.67% of the company’s issued share capital.

    Incentives linked to long-term share price performance

    The majority of the awards are structured to minimise immediate shareholder dilution. They comprise 8.25 million shares held within the company’s Employee Benefit Trust alongside options over 12 million new shares with an exercise price of 40p.

    Rather than vesting automatically, the awards are tied to a series of demanding share price performance targets. Four separate tranches will vest only if Empire Metals’ shares trade at prices ranging from 50p to 98p for 10 consecutive trading days, directly linking employee rewards to sustained share price appreciation.

    Plan aims to retain talent and align shareholder interests

    The incentive programme allocates significant awards to the company’s managing director and finance director while also extending participation across the wider workforce.

    Independent directors said the structure provides a fair balance between rewarding key personnel and promoting long-term shareholder value. By making vesting dependent on sustained market performance, the company aims to retain experienced staff while encouraging management to focus on delivering long-term growth.

    Investment outlook

    Empire Metals remains a development-stage resource company and therefore continues to report no revenue while investing heavily in advancing its flagship project. As a result, profitability remains negative and cash burn continues as development work progresses.

    However, the company maintains a relatively low-debt balance sheet, providing financial flexibility as it advances the Pitfield Titanium Project. Positive technical momentum has also supported the shares in recent months, although valuation metrics remain difficult to assess given the absence of earnings and dividend payments.

    About Empire Metals

    Empire Metals is an AIM-listed exploration and resource development company focused on advancing the Pitfield Titanium Project in Western Australia. The project hosts one of the world’s largest reported titanium resources, with a Mineral Resource Estimate of 2.2 billion tonnes grading 5.1% TiO₂. The company is working to develop high-purity titanium products to meet growing global demand across a range of industrial applications.

  • Premier Foods delivers strong branded growth and remains on course to meet full-year expectations (PFD)

    Premier Foods delivers strong branded growth and remains on course to meet full-year expectations (PFD)

    Premier Foods (LSE:PFD) reported another quarter of branded sales growth, driven by continued product innovation, expanding distribution and strong demand across its grocery and sweet treats portfolio. The company said performance during the 13 weeks to 27 June 2026 keeps it firmly on track to achieve its full-year trading profit targets.

    Branded portfolio delivers broad-based growth

    Group branded revenue increased 4.0% during the quarter, while total revenue rose 2.7%, supported by strong performances from both the UK Grocery and Sweet Treats divisions.

    Mr Kipling was the standout performer within Sweet Treats, delivering 9% sales growth as new product launches continued to attract consumers. In Grocery, established brands including OXO, Angel Delight and Ambrosia benefited from ongoing innovation and further market share gains.

    Premier Foods also continued to expand into new product categories, where revenue increased 16%, helped by strong demand for Cape Herb & Spice products and wider distribution across major retailers.

    International expansion supports momentum

    The group’s international business also delivered another period of growth, with revenue rising 6% on a constant currency basis.

    Europe recorded double-digit growth, supported by the continued rollout of the FUEL10K brand, while North America and Australasia also contributed solid performances. Recently acquired brands maintained double-digit revenue growth, highlighting the success of Premier Foods’ acquisition strategy and its ability to integrate new businesses effectively.

    Management said the continued momentum across both domestic and international markets leaves the company well positioned to meet its trading profit expectations for FY26/27.

    Investment outlook

    Premier Foods continues to demonstrate consistent operational execution, supported by improving profitability, healthy cash generation and manageable debt levels. Ongoing innovation, successful category expansion and growing international sales provide multiple drivers for future growth.

    The shares also benefit from an attractive valuation relative to earnings, while positive technical indicators suggest investor sentiment remains supportive as the company continues to build on its recent momentum.

    About Premier Foods

    Premier Foods is one of the UK’s largest food manufacturers, employing more than 4,000 people across 13 production sites. The company supplies retailers, wholesalers and foodservice customers with a portfolio of leading grocery and ambient food brands, including Ambrosia, Bisto, Mr Kipling, OXO and Sharwood’s. Its portfolio has also expanded through acquisitions such as The Spice Tailor, FUEL10K and Merchant Gourmet, strengthening its presence across both established and emerging food categories.

  • Shoe Zone reduces expected annual loss after stronger early-summer trading (SHOE)

    Shoe Zone reduces expected annual loss after stronger early-summer trading (SHOE)

    Shoe Zone (LSE:SHOE) has narrowed its expected full-year loss after stronger-than-anticipated trading during May and June boosted sales and improved its cash position. The retailer said favourable summer weather and a warehouse closing-down sale helped deliver better performance than previously expected, prompting management to upgrade its outlook for the current financial year.

    Improved trading supports upgraded guidance

    The company reported that sales during May and June exceeded market expectations, benefiting from increased customer demand driven by seasonal conditions and promotional activity linked to its warehouse closure.

    The stronger trading performance also enhanced Shoe Zone’s cash position, providing additional financial flexibility as the retailer continues to navigate a challenging consumer environment.

    As a result, the board now expects adjusted loss before tax for the year ending 3 October 2026 to be no more than £1.0 million, representing an improvement on its previous guidance.

    Promotional strategy helps offset market challenges

    The latest update suggests Shoe Zone’s value-focused retail strategy and multi-channel business model are helping to cushion the impact of weaker consumer spending and broader pressures facing the UK retail sector.

    Management’s focus on closely monitoring cash flow and maintaining operational discipline also appears to be improving financial resilience, even though the business still expects to report a loss for the year.

    The revised outlook may provide reassurance that recent initiatives are beginning to stabilise performance while preserving liquidity during a difficult trading period.

    Investment outlook

    Although Shoe Zone continues to face pressure from weaker profitability and a challenging retail backdrop, the improved earnings guidance and stronger cash generation indicate that recent trading has been more resilient than expected.

    The shares remain affected by weak technical momentum, with the price trading below key moving averages and broader sentiment remaining cautious. However, the company’s moderate valuation and improving cash position may appeal to investors looking for signs of an operational recovery.

    About Shoe Zone

    Shoe Zone plc is a UK footwear retailer operating through town centre stores, retail parks and an online platform. The company sells affordable footwear for the whole family through 253 stores and its digital channels, with annual sales of approximately 13.3 million pairs at an average selling price of around £13. Larger-format stores also stock well-known third-party brands including Skechers, Hush Puppies, Rieker, and Lilley & Skinner, supporting its value-led, multi-channel retail strategy.

  • Thor Explorations delivers strong Q2 production while progressing West African growth projects (THX)

    Thor Explorations delivers strong Q2 production while progressing West African growth projects (THX)

    Thor Explorations (LSE:THX) reported a strong second quarter, with solid production from its Segilola Gold Mine in Nigeria, robust cash generation and continued progress across its exploration portfolio in West Africa. The company maintained its full-year production and cost guidance while advancing development work at its key growth projects.

    Segilola delivers another strong quarter

    During the second quarter, Segilola produced 19,153 ounces of gold from 240,769 tonnes of ore processed at an average grade of 2.57 grams per tonne. Gold recoveries remained high at 93.3%, supporting efficient operations and strong financial performance.

    Gold sales generated revenue of US$77.3 million during the quarter, while Thor ended the period with a net cash position of US$225.6 million, reinforcing the strength of its balance sheet and providing financial flexibility to support future growth.

    The company also reaffirmed its production and operating cost guidance for the full year, reflecting confidence in the continued performance of its flagship Nigerian operation.

    Exploration programmes support long-term growth

    Thor continued to invest heavily in exploration across its assets in Nigeria, Senegal and Côte d’Ivoire, completing more than 20,000 metres of drilling during the quarter.

    The work is focused on extending the operational life of the Segilola mine while expanding and upgrading mineral resources at the Douta Gold Project in Senegal. Alongside exploration activity, the company moved closer to securing a mining convention and reaching a final investment decision for Douta, representing another important milestone in its development strategy.

    Thor also maintained its quarterly dividend and received exchange approval for the appointment of a new director, reflecting its ongoing commitment to shareholder returns and corporate development.

    Investment outlook

    Thor Explorations continues to combine strong operational performance with disciplined capital management. A substantial net cash position, consistent production and maintained guidance provide a solid financial foundation, while ongoing exploration and project development offer multiple opportunities to increase future production across West Africa.

    The combination of cash generation, organic growth potential and continued shareholder distributions positions the company well as it seeks to expand its regional gold production portfolio.

    About Thor Explorations

    Thor Explorations is a West Africa-focused gold producer and exploration company with operations and development assets in Nigeria, Senegal and Côte d’Ivoire. Its portfolio includes the producing Segilola Gold Mine in Nigeria, the Douta Gold Project in Senegal and the Guitry Gold Project in Côte d’Ivoire, together with additional exploration licences across the region. The company is listed on AIM and the TSX Venture Exchange.