UK Supply Chain Issues Likely to Hold Back Sterling

0807 GMT - The pound may struggle to rise considerably as the U.K.'s current supply chain crisis could discourage the Bank of England from raising interest rates, Commerzbank says. BOE Governor Andrew Bailey on Monday reiterated rates could rise before year-end but this is unlikely as he also stressed that supply bottlenecks are weighing on the economic outlook and that tightening monetary policy too early would also slow down the recovery, Commerzbank's Esther Reichelt says. "We therefore see little further GBP appreciation potential," she says. "The longer the supply bottlenecks persist, the more endangered the economic recovery will be and the less likely a significant tightening of monetary policy will become." GBP/USD falls 0.2% to 1.3675 and EUR/GBP rises 0.1% to 0.8547.(renae.dyer@wsj.com)

 
Companies News:

Pennon Says 1H Performance Is In Line With Expectations

Pennon Group PLC said Tuesday that it is on track to deliver performance in line with management expectations for the first half ending Sept. 30.

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Ferguson FY 2021 Pretax Profit Rose; Expects FY 2022 2H Tapering

Ferguson PLC reported on Tuesday a rise in pretax profit for fiscal 2021 and said that, even though it expects its current financial year to be strong, it also anticipates a tapering in the second half on tougher comparatives.

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Smiths Group FY 2021 Pretax Profit Rose

Smiths Group PLC said on Tuesday that pretax profit for fiscal 2021 rose after booking lower costs, and that it expects revenue growth to return to around pre-pandemic levels during the year.

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Smiths Group Agrees to $2.4 Bln Smiths Medical Sale to ICU Medical

Smiths Group PLC said Tuesday that it has now agreed to sell its medical unit to ICU Medical Inc. for $2.4 billion, and will return 737 million pounds ($1.01 billion) of the money to shareholders.

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Rentokil Increases Medium-Term Growth Targets

Rentokil Initial PLC said Tuesday that it has increased its organic and ongoing medium-term revenue and growth targets, as well as its ongoing operating profit growth target.

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Moonpig Group Raises FY 2022 Revenue Guidance After Strong Start to Year

Moonpig Group PLC on Tuesday raised its fiscal 2022 revenue guidance after a strong start to the year.

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Blue Prism Group Agrees GBP1.1 Bln Takeover By Vista Funds

Blue Prism Group PLC said Tuesday that it has agreed a 1.1 billion pound ($1.51 billion) takeover by Bali Bidco Ltd., a company indirectly owned by the Vista Funds.

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Yourgene Health Revenue Expected to Rise Significantly in 1H

Yourgene Health PLC said Tuesday it expects to post higher revenue for the first half of fiscal 2022, as the business has benefited from improved momentum.

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Strategic Minerals Identifies Tin Mineralization West of Redmoor Project, England

Strategic Minerals PLC said Tuesday that exploration results for its Redmoor project in Cornwall, England, delivered new high tin grades.

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Mortgage Advice Bureau 1H Pretax Profit Rose

Mortgage Advice Bureau (Holdings) PLC reported on Tuesday a rise in pretax profit for the first half of the year and said that its current performance is in line with management expectations for the whole year.

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A.G. Barr 1H Pretax Profit Increased on Higher Sales

A.G. Barr PLC on Tuesday reported a higher pretax profit for the first half of fiscal 2022 as sales increased, but said this performance won't continue for the rest of the year.

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Safestay Swung to 1H Pretax Profit

Safestay PLC said Tuesday that it swung to a pretax profit for the first half after booking lower costs, and that management aims to get back to pre-Covid-19 run rates through the middle quarters of 2022.

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S&U 1H Profit Rose on Lower Impairments

S&U PLC on Tuesday reported an improved profit for the first half of the fiscal year, reflecting lower impairment charges.

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Chemring Group Gets $46.3 Mln Worth of Contracts

Chemring Group PLC said Tuesday that it has won $46.3 million worth of contracts within the countermeasures-and-energetics market, increasing visibility for fiscal 2023 and beyond.

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Next Fifteen Swung to 1H Pretax Profit; Sees Double Digit Organic Revenue Growth in 2H

Next Fifteen Communications Group PLC on Tuesday reported a pretax profit for the first half of the fiscal year, and said that it expects to deliver double digit organic revenue growth in the second half.

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Close Brothers FY 2021 Net Profit Rose

Close Brothers Group PLC reported on Tuesday a rise in net profit for fiscal 2021 and said that it is confident about its outlook.

 
Market Talk:

Ferguson's 4Q Growth Seen as Proof of Future Performance

0813 GMT - Ferguson's 4Q performance was a reminder of how well things are going for the company, Jefferies says. The plumbing and heating products supplier's organic revenue grew by 23.8% in 4Q from 20.9% in 3Q, Jefferies says. The group's guidance for fiscal 2022 as a whole also seems to be robust, the bank says. Jefferies has a buy recommendation on the stock and a target price of 11,560 pence. Shares are up 0.4% at 10,555 pence. (sabela.ojea@wsj.com; @sabelaojeaguix)

Smiths Group's Earnings Allay Market Fears

0759 GMT - Smiths Group's results for fiscal 2021 appear to have calmed market concerns of an adverse effect on margins from supply-chain cost inflation, Citi says. The engineering company had two good consensus beats at its two largest divisions and 2H saw an acceleration in margin improvement across all divisions, the U.S. bank says. "The concern that new CEO would re-base the growth outlook lower has not been realized. The shares should reflect a decent beat at the operating profit level and an outlook supported by momentum from growth and improvement in Smiths' fiscal 2021's second half," it says. Citi rates the stock buy and has a 1,900 pence target price. Shares are up 3.2% at 1,407.50 pence.(anthony.orunagoriainoff@dowjones.com)

Contact: London NewsPlus, Dow Jones Newswires; Dow Jones Newswires; paul.larkins@wsj.com

(END) Dow Jones Newswires

September 28, 2021 04:39 ET (08:39 GMT)

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