Updates

Gear4music - Results ahead of expectations

July 2017

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.

The shares soared towards £8 after online musical instruments retailer, Gear 4 Music, reported results well ahead of expectations. Coinciding with this the firm placed 610,000 new shares at 690p raising £4.2m, while founder and CEO Andrew Wass also sold 839,000, his first post float disposal. That reduced his stake from 39.1% to 34.3%.For the year ended February sales increased 58% to £56m while pretax profit was £2.7m. Net cash was £0.4m.UK revenue rose 34% to £34.8m while international sales increased 124% to £21.3m. Underlying EBITDA soared 112% with operational gearing helping EBITDA margins rise from 5% to 6%.Highlights included a material improvement in conversion rate (th ...

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Fevertree

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Gear4Music (December 2018)

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