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Ultimate Products

June 2024

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • ULTP
  • Price:
  • 145p
Coming just a month after an inline H1 statement when it reported, “positive signs emerging for FY25,” it was surprising to see Q3 (February-April) deliver sluggish trade. Q3 sales fell by 7%, and management now  assume that this trend will continue into Q4. The weak trading is attributed to reduced consumer demand for UK general merchandise, which is impacting ordering from landed stock by mid-market retailers and online demand. As a result, ULTP has now guided EBITDA  in the range of £17.5-£18.5m vs a previous figure of £21.5m. However, the current sales setbacks are likely to prove temporary. Brokers expect the growth rate to resume in FY25 to as much as 9%. The news essentially pushes the forecasts out by a year; Canaccord, wh ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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