North West listed firms record £4bn boost despite Brexit jitters

Listed companies in the North West have recovered well from market volatility in the wake of June’s EU referendum, according to new data.

Research from professional services giant Deloitte found that the region’s biggest businesses added nearly £4bn to their total market capitalisations over the last three months.

Deloitte’s latest North West Share Index showed a sizable increase between Q2 and Q3, with the collective value of listed companies in the region leaping by 11% (around £4bn) to £38.7bn.

The North West managed to outperform the national average, as the FTSE All-Share rose by 2.7%.

Back in Q2, North West listed businesses saw £1.4bn shaved off their value despite the FTSE All-Share growing by 3.1%.

Over the course of Q3, FTSE firms in the region grew their total market capitalisation by 9%, from £25.86bn to £28.25bn.

Eight of the region’s 15 listed companies added over £100m to their market caps. Bury-headquartered sportswear giant JD Sports Fashion plc was among the top performing in this regard, growing its market cap by £627m to £2.8bn.

Alternative Investment Market-listed businesses in the North West also recorded strong levels of growth with an average increase of 28% to their total market cap.

Manchester-based fashion retailer Boohoo.com, following September’s 130% profit surge, achieved growth of 77%.

Deloitte’s North West partner and head of plc activity, Chris Robertson, said: “The North West’s listed businesses have shown resilience in the last quarter, with the £4bn rise underlining the strength of companies in the region.

“In particular, retail businesses including JD Sports and boohoo.com have witnessed strong growth, as low interest rates have resulted in consumers targeting spending over saving.”

He added: “While it is extremely encouraging to see the North West outperform the national average, it is worth noting that the market volatility witnessed over the last six months is likely to remain in the coming years as the finer points of Brexit are worked out.”