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London's SmallCap Index waned this month, down from 2505.9 to 2421.77, yet remained ahead of the gloomy 1882.5-point level from a year earlier. But once again, there were plenty of announcements to cheer the small company investor, with much evidence to suggest that the cutting of corporate fat, battening down of hatches, and turnaround exercises have left many companies well positioned for economic upturn when it arrives.

Terrific interim turnarounds

Mothercare, the baby goods retailer with a history of warehousing woes, looks to be taking its first steps to recovery under Ben Gordon. The shares firmed up 19p to 316.5p after Gordon, the chief executive brought in last December, reported a first interim profit since 2001. Pre-tax losses of £10 million were nurtured into a £13.4 million profit for the half to 11 October, and £900,000 of debt replaced with £28.4 million of net cash.

Whitehead Mann also affected an interim volte face – first half numbers to September showed profit before tax perking up from £2 million to £3.6 million on £30.3 million of sales, down from £34.5 million. Yet the shares eased 12.5p on the day to 279p as the interim dividend narrowed from 4.5p to 3p.

The City rolled out the red carpet for Victoria, which has come on leaps and bounds in recent years. The outperforming share price vaulted to a new 52-week summit of 331p as the market warmed to half-time numbers to 27 September. Pre-tax profits climbed 72 per cent higher to £2.22 million on a top line that was 34 per cent higher, aided by acquisitions in Ireland and Australia. Even like-for-like sales added 24 per cent. Steered by astute management duo Alan Bullock and Mark Lee, Victoria now has accounts with more than 3,000 independent UK retailers. The low for the past 12 months is 148.5p.

Over in the leisure sector, shares ran higher at Wembley, the US and UK track-based gaming punt. The stock jumped eight per cent to 570p on news that there are parties interested in buying its Lincoln Park racetrack operation in America's Rhode Island. This is where most of the group's profit comes from. The shares have traded as high as 813.5p and as low as 415p over the last year.

Transport tumblers

A pair of transport-quoted ventures travelled south, with aviation services and distribution group Dart falling 9p to 135p, a 52-week low, despite reporting a 31 per cent rise in interim pre-tax profits to £7.1 million on sales up 16 per cent to £120 million. Dorset-based Dart's seasonal profits pattern has altered because Jet2.com, its low-cost airline that flew for the full six months, is profitable in the summer and loss-making in the winter.

Haulage and storage punt Tibbett & Britten surrendered 47.5p at 424p after warning that problems at its North American and Mexican operations would knock £5 million off this year's profits. Analysts were expecting profits of £27 million. Nevertheless, investors drew comfort from news the European and International businesses are performing ahead of expectations. The shares have traded between highs and lows of 562.5p and 355p over the past 12 months.

Panther to pounce

Property investment play Panther Securities has upgraded its all-cash offer for Oakburn Properties to 735p a share, a tidy uplift from the original bid at 576.67p announced last month. The new offer for Oakburn, a 29.34 per cent shareholder in Aim-quoted real estate play Grosvenor Land, represents a 27.5 per cent premium.

Looking Forward

Numis Securities has upped 2004 and 2005 estimates for Business Post following the express delivery play's interim figures to September – sales were improved 23 per cent to £89.4 million, with pre-amortisation profits of £8.1 million beating the forecast £7.8 million. March full-year profit forecasts have been upgraded from £18.3 million to £18.7 million and from £21.4 million to £22.3 million for 2005. At the current 488p, Business Post now yields 3.6 per cent, rising to 3.8 the following year. Investors will also be attracted by the postal industry regulator Postcomm's hotly awaited pronouncements that will help its business mail service, UK Mail.