Tuesday preview; Marks and Spencer, Burberry

16th Apr 2012 16:24

While Tesco might be the most anxiously awaited trading statement due this week from a retailer, the updates from socks and knickers seller Marks and Spencer and fashion chain Burberry on Tuesday will also be keenly scrutinised.Warm weather in March might have helped sales of what Marks & Spencer (M&S) calls general merchandise. Clothing firms dislike it when weather goes contrary to seasonal expectations, but the warmer weather should have ensured a decent start for M&S's spring collection of clothes.The median forecast in a range of predictions is for the UK stores to have seen a 0.8% year-on-year increase in sales in the 13 weeks to the end of March, the final quarter of the group's financial year. However, the range of forecasts is quite wide, spanning from +0.4% to +1.6%. Food sales are tipped to have risen 1.6%, with the range going from +1% to +2.3%. On the general merchandise side, expectations run from a fall of 1% to a rise of 1.5%, year-on-year, with the median forecast being for a fall of 0.5%.Panmure Gordon is at the upper end with its forecasts for UK like-for-like sales growth (general merchandise +0.6%; food +2.3%). It is looking for 9.0% revenue growth internationally for the fiscal year just ended, "which implies 9.9% revenue growth" in the fourth quarter. "This [full year forecast] assumed some softening in the £/€ exchange rate (i.e. sterling weakening), which has not been the case, so our forecast may prove too ambitious," the broker admits.At the posher end of the High Street, Burberry is expected by Barclays Capital to have seen 245 organic growth in retail sales in its fiscal fourth quarter. INTERNATIONAL ECONOMIC ANNOUNCEMENTSBuilding Permits (US) (13:30)Capacity Utilisation (US) (16:15)Harmonised Index of Consumer Prices (EU) (10:00)Housing Starts (US) (13:30)Industrial Production (US) (16:15)New Car Registrations (EU) (10:00)Wholesale Price Index (GER) (07:00)ZEW Survey (EU) (10:00)ZEW Survey (GER) (10:00)FINALSM. P. Evans Group, NetDimensions Holding Ltd. (DI), Northbridge Industrial Services, Walker GreenbankANNUAL REPORTG4S, HuntsworthIMSSMan GroupEGMSJSC Sitronics GDR (Reg S)AGMSBaronsmead VCT 4, Global Ports Investments GDR (REG S), Herald Inv Trust, Perform Group, Tiszai Chemical Group GDR (Reg S)TRADING ANNOUNCEMENTSBurberry Group, Daily Mail and General Trust, Marks & Spencer GroupUK ECONOMIC ANNOUNCEMENTSConsumer Price Index  (09:30)Retail Price Index (09:30)