Qube: Tracking Well but Economic Headwinds Likely to Intensify

Qube said first-quarter financial performance was solid and consistent with guidance for underlying earnings growth in fiscal 2024, albeit below the strong growth rate achieved in fiscal 2023. We remain cautious about the near-term outlook for consumer spending in the face of tighter monetary policy, but with a solid first quarter in the bag, we slightly lift our full-year earnings forecasts. Our longer-term forecasts are largely unchanged—we forecast a five-year EBITDA CAGR of 5.5% compared with 5.4% previously.