Victoria Plc - comment

Victoria Plc released a Q3 update, confirming its trading outlook expectations to be in line with market consensus. Overall, market consensus is below our expectations, as we had expected consumer demand to improve in H2 2024/25. The majority of the improvement in performance is driven by cost savings and improved productivity, with Victoria stating consumer demand remains subdued.  The longer-term survival of Victoria will be determined by a return in demand, with higher operational leverage now inherent in the business following further cost-saving measures.  

Separately, the Koch Equity appointed non-executive director has resigned, following their resignation from Koch Development LLC.  They have been replaced by another Koch executive, Mr Hoe Scribbins, aged 41 who has worked at Koch since 2011.  Koch holds an indirect shareholding of 11% in Victoria Plc, and more significantly Koch’s preference shares, which converted at today’s price would equate to 70% of the overall diluted equity.