Market News
FTSE 100: 7120.43 -3.43 -0.05%
FTSE 250: 23506.11 158.38 0.68%
FTSE AIM: 1256.84 -2.04 -0.16%
The FTSE 100 lagged Thursday in favor of more
domestically-focused companies, as the pound rose in response to
Bank of England inflation warnings. "With the pound gaining ground
off the back of today's [BOE] meeting, it should come as no
surprise to see the FTSE 100 lose traction due to the damaging
impact a stronger pound has upon international earnings," IG Group
PLC market analyst Joshua Mahony said. While the bank sees
above-target inflation as being largely transitory, there is a
strong possibility that some monetary tightening will be required
to bring price growth back down to 2%, Mahony said.
Companies News:
ScS Group Sees FY 2021, FY 2022 Performance Beating Market
Expectations
ScS Group PLC said Thursday that its performance for fiscal 2021
and fiscal 2022 is expected to be above market expectations given
its strong order book and positive recent trading.
---
Secure Trust Bank 1H Pretax Profit Rose; Resumes Dividend
Secure Trust Bank PLC reported on Thursday a significant rise in
pretax profit for the first half of 2021 and resumed dividends.
---
Spirent Communications 1H Pretax Profit Fell
Spirent Communications PLC said on Thursday that first-half
pretax profit fell after it booked higher costs, and that it is
putting together an opportunity pipeline to support its mergers and
acquisitions strategy.
---
Centamin 1H Profit Fell on Weaker Production, Higher Costs
Centamin PLC said Thursday that its net profit for the first
half of the year fell 20%, reflecting weaker gold production and
higher unitary costs.
---
Mkango Resources to Buy Remaining Stakes in Songwe Hill,
Maginito; Shares Rise
Shares in Mkango Resources Ltd. rose Thursday after the company
said it is increasing its ownership over the Songwe Hill rare
earths project in Malawi and Maginito Ltd. to 100% for 13 million
pounds ($18.1 million) in shares.
---
Resolute Mining to Sell Bibiani Gold Mine to Asante Gold for $90
Mln
Resolute Mining Ltd. said Thursday that it has agreed to sell
its Bibiani gold mine in Ghana to Asante Gold Corp. for $90 million
in cash.
---
Castillo Copper to Spin Off, Float Prime Broken Hill Assets
Castillo Copper Ltd. said Thursday that it plans to demerge its
Prime Broken Hill assets in New South Wales, Australia and list
them as a new company on the Australian Stock Exchange.
---
Frasers FY 2021 Pretax Profit Fell; To Move CEO Mike Ashley Into
Executive Director -- Update
Frasers Group PLC on Thursday reported a significant decline in
pretax profit for fiscal 2021, and said that it is in talks to move
Chief Executive Mike Ashley into an executive director role.
---
OptiBiotix Shares Climb; 1H Sales Beat Expectations
Shares in OptiBiotix Health PLC jumped Thursday after it said
that sales of its LP(LDL) and SlimBiome health and
weight-management products came in above expectations in the first
half of the year, and that it expects to meet or exceed the
full-year sales forecast.
---
Goldplat Says Operating Profit From Recovery Operations Fell in
4Q
Goldplat PLC said Thursday that the operating profit from its
recovery operations more than halved in the fourth quarter of the
fiscal year.
---
Versarien FY 2021 Pretax Loss Widened
Versarien PLC said Thursday that its pretax loss for fiscal 2021
widened after booking higher costs and that there are indications
that trading is beginning to return to pre-pandemic levels in its
mature businesses.
---
Chaarat Gold CEO Artem Volynets Steps Down, to Become Senior
Advisor
Chaarat Gold Holdings Ltd. said Thursday that Chief Executive
Officer Artem Volynets will step down from his role with immediate
effect and take on a senior advisor role.
---
Brickability Fiscal 2021 Pretax Profit, Revenue Fell
Brickability Group PLC said Thursday that pretax profit and
revenue fell in fiscal 2021, but that performance in the first
quarter of fiscal 2022 was encouraging, marked by a healthy
construction market and strong order book.
---
Tritax Big Box 1H Pretax Profit Rose
Tritax Big Box REIT PLC said on Thursday that pretax profit rose
for the first half of 2021 mostly due to a rise in property
revaluations, and that it expects to see further letting activity
in the second half.
---
Synthomer Swung to 1H Pretax Profit; CFO to Step Down
Synthomer PLC reported on Thursday a swing to a pretax profit
for the first half of the year, and said Chief Financial Officer
Steve Bennett is stepping down.
Market Talk:
BOE's Policy Withdrawal Sequencing More Important Than QE
End
0936 GMT - Rather then when bond purchases will end, the most
relevant piece of information from the Bank of England's policy
meeting is the outcome of the review of the sequencing of policy
withdrawal, says RBC Capital Markets. "With [the] current GBP150bn
QE programme already two-thirds complete, to some extent the debate
on whether or not to end it early is distracting from what will be
the key announcement," analysts at the bank say. This is the
outcome of the central bank's review of the sequencing of policy
withdrawal, which is expected to be announce later in the year. "It
is possible that we may get the results of the review alongside
today's meeting though that is not our central expectation," they
say.
---
WPP's 1H Is a 'Knock-Out'; Revenue Guidance Raised
0928 GMT - Shares in WPP rise 2% after the advertising,
marketing and public-relations company reported a swing to a 1H
pretax profit and raised its full-year guidance. The company
achieved a "knock-out" set of 1H numbers driven by strong 2Q
organic expansion which, at 19.3%, signals a return to 2019 levels
of activity one year ahead of schedule and which has prompted a
full-year organic revenue guidance upgrade, Citigroup says. "We
think results should be taken well and we rate WPP as a buy," Citi
analysts say.
---
Centamin 1H Earnings Fell Less Than Expected
0924 GMT - Centamin's first half Ebitda declined 26% to $190
million but was 8% ahead of consensus expectations, Jefferies says.
The gold miner's interim dividend of 4 cents a share was slightly
below the 4.2 cents consensus, but Jefferies says this is not a
concern as the company has already committed to a minimum payout
for 2021, which should shift expectations for a higher dividend in
respect of the second half. In addition, increases in fuel prices
remain below budget and, beyond this, Centamin isn't experiencing
major cost inflation, the bank says. Jefferies reiterates a buy
rating on the stock.
---
Glencore Shows Limited Cost Inflation
0923 GMT - Glencore delivered positive news on the cost side,
relative to RBC Capital Market's expectations and peer performance,
the Canadian bank says. Although consensus coal numbers are likely
to edge higher, there isn't a big cost blow out across the
commodities that Glencore produces, which should be taken
positively, RBC says. Elsewhere, the bank says Glencore's
first-half results were strong and bolstered by the $530 million
special dividend and $650 million share buyback. "With these
results out of the way we are very positive on Glencore here vs.
peers, as iron ore transitions back into a balanced market and as
the company looks to deliver on a program of streamlining of
non-core assets."
---
Glencore 1H Results Were as Strong as Expected
0855 GMT - Glencore achieved strong first half results, with
Ebitda of $8.7 billion broadly in line with consensus expectations,
Citi says. There weren't significant surprises in the divisional
Ebitda, although the marketing Ebit implies an annualized rate of
$3.6 billion, leaving enough room for upside surprises against the
guidance of $3.2 billion, the bank says. "Commodity mix geared
towards de-carbonisation enabling metals, strong balance sheet,
volume growth potential and accelerated emission reduction efforts
are key pillars of Glencore's investment case," Citi says. The bank
has a buy rating on the stock.
---
Rolls-Royce's Negative Cashflow, Long Recovery Are Cause for
Concern
0848 GMT - Rolls-Royce's GBP1 billion of planned cost-cutting
helped the engineering company return to 1H profit, but there is
still plenty to concern investors, Mark Crouch at eToro says. The
British engine maker has struggled as the fortunes of its largest
division, civil aerospace, are so interlinked with the airline
industry, one of the sectors worst affected by Covid-19, Crouch
says. Furthermore, its negative cashflow position is an issue for
investors, despite the company saying it should turn positive at
some point in the 2H, he says. "While we believe that Rolls-Royce
is still a quality company, its position still looks precarious and
its recovery long. Therefore, this is very much a long-term play
for investors," Crouch says.
Contact: London NewsPlus, Dow Jones Newswires;
+44-20-7842-931
(END) Dow Jones Newswires
August 05, 2021 12:08 ET (16:08 GMT)
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