Simon Thompson 

Arena overtrading creates buying opportunity

Simon Thompson

Simon Thompson

One of the risks in business is overtrading. Sales meet or exceed expectations buoyed by strong customer demand, but a company is unable to service the incremental increase in revenues at a maintained operating margin because of the additional costs incurred. In a nutshell, this is what has happened at Wimbledon-based Arena Events (ARE:40p), a specialist provider of temporary physical structures, marquees, grandstands and ice rinks to major sporting, outdoor and leisure events.

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