Dart reveals 2020-21 write-downs
Travel and distribution company Dart Group expects pre-exceptional profit of between £265m and £270m for the year to March 2020, which is a 49% increase. That is before exceptional charges, though.
There are £109m of write-downs relating to the airline’s fuel and foreign currency hedging.
Dart has made deposits with hotels in advance of holidays. If the hotels get into trouble it could be difficult to get the cash back. However, it could be rolled over to future holiday seasons.
Airline Jet2.com is selling flights from 17 June but that appears optimistic. A dozen aircraft leases have been cancelled. All staff are taking a 30% pay cut and no bonuses will be paid.
The Fowler Welch distribution business continues to trade well.
Diversified moving to premium list
US-focused oil and gas producer Diversified Gas & Oil is on course to move to a premium listing. The move is expected to happen on 18 May with the AIM quotation being cancelled on the same day.
Management hopes the switch will improve liquidity and increase the profile of the business. Diversified is paying a first interim dividend of 3.5 cents a share, up from 3.42 cents a share last year. Net daily production was 94,000 barrels of oil equipment in the first quarter, while EBITDA was $78m.
During its time on AIM, Diversified Gas & Oil has been able to make nearly $1.5bn of acquisitions of US-based oil and gas assets.
Warhammer licence for Frontier
Video games developer Frontier Developments has signed an IP licence with Games Workshop to enable it to publish a strategy game in the world of Warhammer Age of Sigmar. This will be released by 2023.
Overall, video games sales have been boosted by the COVID-19 lockdown. This means that revenues should be between £65m and £73m in the year to May 2020, while operating profit will be between £11m and £13m.
Rockspring, a company associated with non-executive director, David Gammon, has raised nearly £1.6m from a share sale.