An in line AGM trading update from Nichols this morning which is good news. We should, however, stress that this covers the quietest quarter of the year with all the anticipated growth for FY16 dependent on good momentum coming from last years bolt-on deals, a reasonable summer and further international progress. Owing to the diversified nature of the portfolio and a significant international business, the risk around the proposed UK sugar levy is expected to be minimal we feel. To this end, we note the shares have re-rated by 1 P/E point to 20x FY16 since the March finals. We make no forecast changes at this early stage of the year and see ST fair value at 1430p.
