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Bright prospects for Booker

Grocery wholesaler Booker (BOK) made good progress over the third quarter in turning around the Makro business that it acquired last year, while also reporting a 2 per cent rise in group underlying sales.
January 20, 2014

Grocery wholesaler Booker (BOK) made good progress over the third quarter in turning around the Makro business that it acquired last year, which contributed to a 19 per cent rise in group sales over the period.

IC TIP: Buy at 152p

Underlying sales, excluding tobacco, rose 4.1 per cent, while at Makro, non-tobacco sales fell 5.9 per cent as the business stopped selling certain unprofitable lines, such as TVs. The cash and carry division enjoyed a rise in customer numbers while the catering division also reported solid trading. Overseas, Indian operations made progress and chief executive Charles Wilson said the outlook for group profit and net cash remain unchanged.