ALAN HOWARD | CANACCORD
This is more negative news on current trading for Yell, and another reminder that investors have yet to see any significant light at the end of the tunnel: the rate of decline of business, driven by the economic downturn and online migration, has yet to show any meaningful recovery.
JUSTIN URQUHART-STEWART | SEVEN
Yell is a company with a core problem – its business is disappearing. Its Yellow Pages business is doomed and there is a vast amount of competition in the online sphere, where it is now staking its future. It will be difficult to grow in this area and its plans seem ambitious.
MANOJ LADWA | ETX CAPITAL
Like HMV, Yell is a perfect example of a company that has failed to adapt to a shift in market trends. Giving themselves four years to return to profit and shift significantly away from printed directories may be too lengthy given debt refinancing is due in 2013.