Brown (N.) Group plc Announces Sales Results for the Eighteen Week Period to December 31, 2016; Provides Earnings Guidance for the Full Year of 2017
The company provided earnings guidance for the full year of 2017. For the year, the company expects product gross margin guidance range narrowed to -100bps to -150bps (from -50bps to -150bps) due to focussed and planned promotions and Financial Services gross margin guidance improved to +75bps to +125bps (from +50bps to -50bps) due to continued improvement in the quality of the credit book. Depreciation & Amortisation is expected to be £28 million to £29 million for the full year of 2017. The company expects tax rate of 20%, net debt £280 million to £300 million, capex of £40 million for the year 2017 and this will result in a PBT benefit of £2 million for the full year of 2017.