BUSINESS LIVE: Aston Martin losses narrow; SJP faces £426m provision; Halfords cuts profit forecast

St. James’s Place swung to a loss last year after the wealth management firm took a £426million provision for potential client refunds over historic servicing complaints.

The company’s loss after tax amounted to £9.9million for the year to 31 December, compared with a net profit of £407.2million a year earlier.

Boss XX said the group will be forced into a change of strategy for investor payouts.

He said: ‘A combination of the provision we have established and an expected decrease in the level of profit growth in the next few years as we transition to our new charging structure, reduces our ability to invest for long term growth in our business over the next few years.

‘Accordingly, the Board has decided to revise our approach to shareholder distributions. Going forward, the Board expects that total annual distributions will be set at 50% of the full year Underlying cash result. For the next three years this will comprise 18.00 pence per share in annual dividends declared, with the balance distributed through share repurchases.

‘Once our new charging structure is fully embedded, we anticipate that the business will be on an improving earnings trajectory during 2027 and beyond.

‘The Board expects that distributing 50% of the Underlying cash result will continue to strike the right balance between investment for growth and returns to shareholders, while seeing shareholder distributions increase over time. The upward trajectory in profits should then provide the Board with options to grow the dividend element within the total return.’

Shein’s boss has held talks with Jeremy Hunt over a possible multi-billion pound London float that could deliver a huge boost to the beleaguered stock market.

Donald Tang met the Chancellor earlier this month and raised the prospect of the City snatching the Chinese-founded fast-fashion giant’s initial public offering (IPO) away from New York.

Reports suggest the company, now based in Singapore, could be valued at between £40billion and £70billion – setting the scene for what could be Britain’s biggest-ever stock market float.

Aston Martin pre-tax losses narrowed to around £172million last year from £451million in 2022, beating market expectations thanks to a rise in selling prices.

Analysts, on average, were expecting an adjusted pre-tax loss of £209million for the period, according to a company-compiled consensus.

Wholesale sales volumes were up just 3 per cent for the year, but revenues soared 18 per cent to £1.6billion ‘reflecting continued execution of our growth strategy; enhanced positioning of our ultra-luxury brand and enriched product portfolio driving growth in volumes and record average selling prices’.