Hybridan Small Cap Feast 28/09/22

Joiners: No joiners today. Leavers: Brewin Dolphin Holdings has left the Main Market. Caretech Holdings has left AIM. What’s cooking in the IPO kitchen?** Streaks Gaming plc, a UK-based provider of conversational gaming products intends to join the Standard Segment of the Main Market this autumn. The flotation is expected to value Streaks at approximately £10.2m (pre-money) and will make it the first LSE-listed "pure-play" conversational gaming company. Raising between £5-10m. Independent Living

SHORE CAPITAL - SCS GROUP+ (SCS, HouseStock at 138p) Appointment of Non-Executive Chairman Designate

Hostmore - Better than expected H1; cold reality on the menu

Hostmore delivered a marginally better than expected H1, but it’s not been a great start to H2 and the cold reality is that the consumer environment has worsened, putting pressure on revenue, with cost inflation – especially energy – also rippling through the P&L. Sensibly, Hostmore is slowing its opening programme to protect cash; it’s highly cash generative with plenty of financial headroom, and this should put it in a good position to exploit market opportunities when the time is right. We ar

LIBERUM: Tortilla Mexican Grill* - LFL outperformance continues, roll out accelerated but protein costs hit profits

Morning Note – 21 September 2022

Zeus: Video Games Sector Quarterly review - September 2022

In the September edition of Zeus’ Video Games quarterly report, we review sector M&A activity in 2022 alongside our regular valuation and performance analysis. Total 2022 YTD deal volume across the US and Europe (186) is at elevated levels, already second only to 2021. The total number of video games deals rebounded significantly to 81 in Q3 from 28 in Q2, according to our transaction screening. US average deal value reached a record high of £209.5m (joint with that achieved in 2020) on a re

Cenkos: Brighton Pier Group Plc -- Strong results, challenging outlook

Brighton Pier Group (BPG) performed strongly during the 12 months to June 2022, which resulted in the company beating forecasts that had already been twice upgraded (FY22E Adj EBITDA of £6.5m originally forecast vs £10.8m ultimately achieved). All divisions performed well, with trading boosted by pent-up consumer demand and government support packages. The outlook appears more muted, however, driven by elevated inflation and the widely documented ‘cost-of-living crisis'; consequently, we lower o

SHORE CAPITAL - XP Factory (XPF) - House Stock at 12p - Excellent progress to date in 2022

LIBERUM: City Pub Group* - Balance sheet strong, inflationary downgrades

Hybridan Small Cap Feast 22/09/2022

*A corporate client of Hybridan LLP ** Arranged by most recent first *** Alphabetically arranged Dish of the day Joiners: No joiners today. Leavers: No leavers today. What’s cooking in the IPO kitchen?** Streaks Gaming plc, a UK-based provider of conversational gaming products intends to join the Standard Segment of the Main Market this autumn. The flotation is expected to value Streaks at approximately £10.2m (pre-money) and will make it the first LSE-listed "pure-play" conversational gaming co

Guild Esports (GILD LN) - Sky - Largest ever sponsorship

Guild has signed its largest sponsorship agreement to date with Sky UK Ltd (Sky). The three-year global sponsorship is one of the largest ever esports sponsorships signed in Europe and is Sky’s first agreement with an esports organisation. We estimate the new contract could drive Guild into cash profitability before payments to Footwork Productions. In addition, the sponsorship’s high profile may accelerate the signing of other deals in Guild’s growing pipeline. Sky follows other premium brands

LIBERUM: Tortilla Mexican Grill* - LFL +19% and roll out on track

Pendragon PLC (PDG LN) - Strong H1 and strategic progress

Pendragon’s interim results show underlying PBT of £33.5m (H1 2021: £35.1m), in line with the numbers flagged in a trading update on 20 July. This is a strong performance given the removal of £8.3m of government support and £7.0m of incremental marketing spend to grow the used car proposition. FY22 trading is expected to be in line with Management’s expectations, despite macro uncertainty and supply shortages, so Zeus headline forecasts are unchanged. We remain comfortable with our 38.6p per sha

Significant airport disruptions drove Q3 into the red

easyJet’s Q3 trading update should be defined as mixed as we see severe negative impacts from the airport chaos, but the encouraging traffic figures, good hedging and further improved liquidity and net debt positions are worth noting. We might downgrade further our estimates to a small extent for the current FY and a further cut for the next FY is not impossible as Heathrow warns of a potential passenger cap for summer 2023.

Better Q2, unchanged outlook

The warmer weather and return to social events has boosted the demand for summer clothing. Next has slightly raised its FY22 guidance for both top-line growth and profitability on the back of better-than-expected full-prices sales in Q2 22. The group still expects an inflation impact on consumer spending to worsen in the second half.