City briefs: National Express; Luceco
National Express has reported its revenues have increased by 33% for Q3, which is 5% ahead of levels seen in 2019.
It has seen ongoing recovery in its passenger journeys across each of its markets, with strong growth, especially in its UK and Spanish coach businesses.
The group says it is making good progress in meetings its full-year driver recovery targets in its North America school bus division, although the labour market remains tight.
Ignacio Garat, Group Chief Executive, said: “I am pleased to report sustained momentum across the Group and another period of operational progress and revenue growth. We continue to see strengthening passenger numbers in our coach businesses in the UK and Spain, and we are focused on meeting our driver recovery targets for the full year in our North America school bus division.
“We are well positioned for the current inflationary environment with long-term supply contracts, fuel hedging, and a proven ability to pass through price increases over time. While we are mindful of the challenges we face in our sector, we are confident in our Evolve strategy and look forward to making further progress.”
Luceco, the supplier of wiring accessories, EV chargers, LED lighting, and portable power products, has said its order book suggests its distributor customers will destock faster in Q4 than expected.
This has resulted in an adjusted operating profit for 2022 in the range of £20-£22m, which is below previous estimates.
Q3 2022 revenue was 11% lower than Q3 2021 and 14% higher than pre-COVID Q3 2019 for Luceco, who says demand from the UK DIY market has continued to slow in Q3. Promotional campaigns run by some of customers helped to stimulate demand toward the end of the quarter and these continue in Q4.
Demand from professionals remains stronger than from consumers, particularly for non-residential LED lighting projects.
The group says its healthy balance sheet, strong cash generation and agile business model will enable it to navigate this period with confidence.
