ABF has issued an update that has confirmed strong momentum has been sustained through Q4... In our view, the continuing strength of ABF’s performance in an increasingly challenging consumer environment further demonstrates that Primark is possibly the most potent retail format in the UK.
GRAHAM JONES | PANMURE GORDON
ABF will deliver impressive earnings growth in 2012, driven by a significant rise in Sugar profits, but it is Primark’s long-term growth potential in continental Europe that most excites us...With the shares remaining very close to our 1300p price target, we maintain our “hold” recommendation.
JONATHAN JACKSON | KILLIK & CO
Full-year operating profit is in line with expectations. Sales at Primark are up 17 per cent at constant currency, with like-for-like sales growth slightly better than expected at three per cent, and following a fall in cotton prices in the second half, divisional full-year margins are expected to be in line with 2011.