Stanley Gibbons Group (AIM:SGI) trading update confirms what many were already thinking
The trading update from the collectibles and philatelic specialists has confirmed what many were already thinking, that the Group is trading short of current year estimates. Our previous Blog posts highlighted the issues and suggested that this business in its current form does not make for a happy stock market animal. One for real contrarians with an in-depth knowledge of the philatelic and collectibles market!
While progress was made in September on completing some high value sales even with this progress, sales achieved for the first six months were only at a similar level to the same period last year, despite the inclusion of sales from the Mallett acquisition completed in October 2014. Turnover for the 6 months to 30th September 2014 was £27.1m. Gross margins and profits are expected to be substantially below those of the same period last year, which benefited from high margin sales of material sold from exceptional purchases of major collections. Gross margins for the 6 months to 30th September…