Studio Retail has announced a H1 trading update (to Sep), detailing strong product sales growth of 38% on a 2 year basis and up marginally YoY (against a tough comp). Financial services revenue was up 11%, also. Supply chain issues have been well managed by the group, as it took the decision in the summer to secure its supply chain. Any additional costs incurred/price inflation will be recouped from a higher pricing strategy in H2. Positively, going into the peak trading period, market data is pointing to a ‘good Christmas’. The market is yet to price in the group’s strong positioning, with STU trading on a P/E of 7.2x reducing 5.5x
