Moss Bros boosts dividend as full-year profit to beat forecasts

14th Jan 2014 13:45

Shares in Moss Bros surged on Tuesday after the UK men's formalwear company said it expects to post full-year profit ahead of market forecasts.Chief Executive Brian Brick said the firm was encouraged by trading over the key Christmas period. Like-for-like sales jumped 12.9% in the five weeks to January 11th and rose 7.3% in the 24 weeks to the same day."The improved sales performance and continued strong cost management and rigorous clearance of stock, means that we will finish 2013/14 ahead of market expectations," Brick said.The firm, which sells and hires out formal clothing, also unexpectedly announced it will boost its full-year dividend up from 0.9p to 5p a share. Moss Bros expects to have cash of £28m at year-end of which the group said it only needs £15m of this to run the business.Shares gained 21.89% to 90.50p at 14:04.RD