THE AA is expected to produce a solid set of half-year results on Tuesday, the first since its June flotation valued the business at £1.4 billion.
The motoring organisation, which has four million members, is now run by a management buy-in team led by former Green Flag boss Bob Mackenzie and backed by institutional investors including Aviva and Legal & General.
It is expected to produce healthy operating profits, although its pre-tax profit will be hit by charges relating to its management buy-in and flotation.
The AA and over-50s insurer Saga were combined in a £6.2 billion deal at the height of the credit boom in 2007 to form Acromas, owned by private equity firms CVC, Permira and Charterhouse. Saga was sold separately in May in a £2.1 billion flotation.
Now that the AA has parted from Saga, brokers want to see it exploit its potentially lucrative membership base.
Cenkos analyst Sandy Chen said: "We believe there is a significant revenue-growth opportunity for the AA in cross-selling insurance products to its roadside assistance customers.
"We think that when the AA was in the Acromas Group, this opportunity probably would not have been available to it because its partner Saga would have laid claim to most of the insurance-related business."
Irn-Bru maker AG Barr looks set to unveil another effervescent set of figures when it reports its first-half results on Tuesday.
The company, which also makes Tizer and Rubicon, has said sales continued to grow despite strong comparatives last year and intense promotional price competition in the market. .
Menswear specialist Moss Bros may have been hit by a slowdown in summer weddings due to the World Cup, but is still expected to continue its recovery when it posts its half year figures today. The London-based retailer, which has 135 stores, is expected to post increased sales following store refurbishments and higher online revenues.
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