The North West’s listed companies have witnessed a strong start to 2017, adding £2.3bn to their total market capitalisations in the first quarter of the year, according to Deloitte.
The business advisory firm’s latest North West Share Index shows that in the first three months of 2017, the value of the region’s listed companies increased from £39.2bn to £41.6bn, a rise of six per cent.
The 15 FTSE-listed companies have performed well in the first quarter, with each company adding an average of almost £140m to their total market capitalisations. In particular, residential property developer Redrow’s value jumped 19 per cent in the past three months worth almost £300m.
Fashion retailer JD Sports also showed strong growth, adding £655m to its total market capitalisation. The group recently announced that its pre-tax profits had risen by 81 per cent to £238m, a new record for the company. This was boosted by the brand’s expansion across Europe, where it opened 54 new stores over the last 12 months.
The North West’s 50 AIM-listed companies have also seen strong growth of two per cent, adding £236m to their total values in the first quarter.
AIM-listed Stobart Group has enjoyed a buoyant start to 2017, with the company adding £158m to its total value. The group has continued its good form into the new year, having boosted its value by 67 per cent, totalling £575m in the final quarter of 2016. The business recently acquired aircraft leasing company Propius Holdings Limited, as it targets further growth in the aviation sector.
Chris Robertson, partner and head of plc activity at Deloitte in the North West, said: “It is encouraging to see the region’s businesses performing so well in the early stages of 2017. Some of the North West’s most successful companies have seen a large rise in profits this reporting period, such as JD Sports and Redrow, helping to drive increases in their market capitalisations.
“The macroeconomic and political uncertainty that characterised 2016 has continued into 2017, unsurprisingly. It is therefore fantastic to see so many good examples of North West based companies’ resilience in the face of these uncertainties. While we remain cautious about the future and must accept uncertain times as the new normal, these latest figures provide continuing evidence of the strength in depth of the North West’s listed businesses.”