Mike Ashley faces a tough end to the week. Today his Sports Direct sportswear chain is expected to reveal a sharp fall in profits. Then, tomorrow, a judge could rule that he must write a big cheque to Jeff Blue, a former investment banker who used to work at Sports Direct, over a contested £15 million deal discussed in a boozy drinking session. No doubt the retail tycoon will be honing his drinking skills as he sees off a bad week.
Be there or be square
The fallout from who was and who wasn’t invited to David Davis’s charm offensive (there’s an oxymoron) with the business community at Chevening continues to create waves. Apparently various big-swinging chief executives of our multibillion-pound insurance companies are said to have been aghast at not getting the nod — especially as Inga Beale, head of Lloyd’s of London, was on the guest list.
Bigger seems to be better
The Handmade Burger Co and Byron may be closing or selling sites, but not all posh burger chains are suffering indigestion. Gourmet Burger Kitchen, bought for £120 million by South Africa’s Famous Brands last September, has just lodged accounts showing turnover up 16 per cent to £77.9 million and strong profits.
At the same time, Sir Charles Dunstone’s Five Guys has stepped up expansion, with plans for 20 more UK outlets this year. A case of beef up or ship out?
Enemy on the doorstep
A survey by Nectar, the loyalty scheme, suggests that 43 per cent of consumers eat out less often as online delivery groups transform the restaurant sector. Nectar says that while these can provide useful income, “the threat to dine-in establishments is clear as consumer habits shift”. Sounds like the mushrooming number of couch potatoes could prove a recipe for disaster.
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Business big shot
Name Matthew Lester
Age 54
Position Non-executive director, Barclays
Accountant, investment banker, finance chief and now bank director, Matthew Lester’s City career has taken in most jobs of significance and yesterday he was invited into the boardroom at Barclays (Harry Wilson writes).
As chief financial officer of Royal Mail for the past seven years, he has seen the postal operator through its privatisation. Mr Lester will step down from the company today ahead of taking up his new post at Barclays at the beginning of September.
He will join the board and join the bank’s key audit and risk committees.