Davy Stockbrokers has indicated a continuing positive outlook for Arnotts. The retailer, which recently published strong results boosted by a full year's trading at its enlarged Henry Street store in Dublin, is on course for further good growth in 1999 and 2000, according to Davy.

The group's growth prospects are underpinned by its exposure to a buoyant Irish economy that is showing little evidence of a slowdown. With a lower than forecasted interest charge in 1999, Davy has now increased its pre-tax profit forecasts for the group for 2000 from €13.5 million (£10.63 million) to €14.2 million. This translates into a revised earnings per share of 56.5 cents, up 4.6 per cent on Davy's earlier forecasts.