FTSE 100 Closes Up 0.6% Thursday Amid Retailers Rally

The FTSE 100 index closed Thursday up 0.6% to 7633 points, outperforming its peers supported by a rally in the retail sector and a weaker pound, chief market analyst at CMC Markets UK Michael Hewson says in a note. Next shares rose 6.9% and lead the blue-chip index as investors welcomed its quarterly update, where it said that full-price sales grew by 4.8% in the nine weeks to the end of December and increased full-year pretax profit guidance. Standard Chartered Bank followed the top-risers list with a 6.8% increase, reaching its highest levels since early 2018 after reports that First Abu Dhabi National Bank takeover bid talks were no longer taking place, Hewson notes. On the opposite side of the table, Pearson fell 5.9%, followed by Croda International and Haleon, down 3.3% and 3.0% respectively.

Companies News: 

B&M European Value Narrows FY 2023 Guidance After 3Q Revenue Rose

B&M European Value Retail SA on Thursday narrowed its fiscal 2023 guidance for adjusted Ebitda as the group reported a 12% rise in its third-quarter revenue.

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Next Raises FY 2023 Profit Guidance; Sees Profit Falling in Fiscal 2024

Next PLC on Thursday raised its pretax profit guidance for fiscal 2023, but said it expects earnings to fall in fiscal 2024 as the economy is squeezed by inflation.

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Greggs Sees 2022 Sales Rising; Reports Strong End to Year

Greggs PLC said Thursday that it had a strong final quarter of 2022, and that it expects full-year sales to rise 23%.

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Glenveagh Properties 2022 Revenue Rose, Starts Share Buyback

Glenveagh Properties PLC said Thursday that it expects to report a significant rise in revenue for 2022, driven by a strong performance in its suburban business segment, and launched a share buyback program.

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Live Company Starts Cost-Saving Measures; Reviewing Debt Structures

Live Company Group PLC said Thursday that it is initiating cost-saving actions as it expects to book a loss in 2022 and it is reviewing debt structures with the view of renegotiating repayment schedules.

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Mattioli Woods 1H Revenue Rose; FY 2023 Outlook in Line With Views

Mattioli Woods PLC said Thursday that first-half revenue was 10% higher than last year and that its outlook for fiscal 2023 remains in line with management expectations.

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Angle 2022 Revenue Was Flat; Sees 2023 Revenue Rising but Missing Market Views

Angle PLC said Thursday that it expects to report flat revenue for 2022, though its loss widened, and sees 2023 revenue growing but likely materially below current market expectations.

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Proteome Sciences Gets GBP870,000 Milestone Payment

Proteome Sciences PLC said Thursday that it has received a milestone payment of around 870,000 pounds ($1.0 million), for sales of TMT and TMTpro.

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Hydrogen Utopia International's London Listing Prospectus Approved by FCA

Hydrogen Utopia International PLC said Thursday that its supplementary prospectus for the company's planned trading on the London Stock Exchange's official list has been approved by the U.K. Financial Conduct Authority.

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Next Raises FY 2023 Profit Guidance But Expects Tighter Year Ahead -- Update

Next PLC on Thursday raised its pretax profit guidance for fiscal 2023 after better-than-expected Christmas sales, but said it expects earnings to fall in fiscal 2024 as the economy is squeezed by inflation and consumers deal with increased mortgage payments as fixed interest-rate deals expire.

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Trending: Ryanair Increases Fiscal 2023 Guidance After Bumper 3Q

1229 GMT - Ryanair is among the most mentioned topics across news items over the past 12 hours, according to Factiva data, after the Irish low-cost airline increased its fiscal 2023 guidance. The company said late Wednesday that it is expecting pre-exceptional after-tax profit for the year ending March 31 in the EUR1.325 billion-EUR1.425 billion range after benefiting from better-than-expected travel and fares over the Christmas and New Year period. Ryanair said it expects to report third-quarter after-tax profit of around EUR200 million later this month, which Davy Research analyst Stephen Furlong says would represent record profitability for the quarter. "We continue to believe that Ryanair's balance sheet, market position and cost advantage leave it very well-placed in this upgrade cycle," Furlong says. Stifel analysts Johannes Braun and Marc Zeck, however, take a more cautious view, assuming Ryanair's bumper third quarter was driven by prices. They point to Ryanair expecting to be loss-making in fiscal 4Q. "The negative new information here in particular is that not only the absence of Easter in the quarter is mentioned, but also for the first time a softening in demand on U.K. outbound and Irish routes in terms of traffic and pricing," they say. Dow Jones & Co. owns Factiva. ([e-mail])

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Vesuvius Appoints Mark Collis as CFO

Vesuvius PLC said Thursday that it has appointed Mark Collis as chief financial officer with effect no later than July 4.

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Standard Chartered Shares Jump After Abu Dhabi Bank Said It Weighed Making Bid -- MarketWatch

Standard Chartered shares jumped 7% as Abu Dhabi Bank said it considered making a takeover bid for the Asia-focused, U.K.-headquartered bank. "First Abu Dhabi Bank confirms that it had previously been at the very early stages of evaluating a possible offer for Standard Chartered, but as of the date of this announcement, is no longer doing so," the bank said in a statement. Sheikh Tahnoon bin Zayed Al Nahyan, the chairman of First Abu Dhabi, is the son of the founding father of the United Arab Emirates.

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First Abu Dhabi Bank Says It Is No Longer Considering Bid for Standard Chartered

First Abu Dhabi Bank PJSC said Thursday that it has previously considered an offer for Standard Chartered PLC but is no longer doing so, after Bloomberg reported that the United Arab Emirates bank had been exploring a bid for the London-based lender.

 
Market Talk: 

J Sainsbury's 3Q Performance Likely to Be Strong

1219 GMT - J Sainsbury is set to report its 3Q update next week and performance is likely to be strong given that its stores were well prepared for the Christmas period, Shore Capital analysts Darren Shirley and Clive Black say in a note. The British grocer's performance has been impressive recently, while the latest Kantar report shows an increase of 6.2% in grocery sector sales for the three months to Dec. 25, they note. "We sense that the U.K. supermarkets have gained overall share of retail expenditure in December as folks focused upon food & beverages in particular," they add. Shares are up 0.7% to 237.3 pence. ([e-mail])

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European Stocks Trade Mixed Ahead of Likely US Gains

1245 GMT - European stocks trade mixed following mostly positive Asia trading and ahead of an expected slightly higher U.S. open. The Stoxx Europe 600 and CAC 40 edge 0.1% higher and the FTSE 100 gains 0.6%, though the DAX trades flat. Brent crude rises 2% to $79.46 a barrel. IG futures data show the Dow opening at 33285 compared with Wednesday's close of 33270. Asian stocks had yet another good session, continuing the theme of ex-U.S. indices making progress in 2023, IG says. "While the Caixin services PMI remained in contraction territory, it rose more than expected," IG analysts write. "Thursday marks the beginning of a focus on U.S. employment, with initial claims and the ADP report, before Friday's big nonfarm payroll number." ([e-mail])

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B&M Faces Hurdles Despite Likely Bargain-Hunting Boost

1248 GMT - B&M European Value Retail faces tough times despite potentially benefiting as cash-strapped shoppers buy cheaper products, RBC Capital Markets says. The discount retailer reported better-than-expected third-quarter sales, though mid-point Ebitda guidance was slightly lower, probably due to margin pressure, RBC says. "B&M should benefit from consumers trading down in a tougher macro environment, although we note B&M's core consumer will likely be the most pressured," RBC analyst Richard Chamberlain writes. "However, we believe various headwinds will make it more difficult to [increase] earnings meaningfully over the next two years, e.g., due to higher costs, a weaker GBP versus USD, potential negative mix effects, higher discounting and a higher tax rate in FY24." ([e-mail])

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Fall in Energy Prices Lowers UK Borrowing Needs

1332 GMT - Energy prices are falling faster than previously expected, leading to a decline in the cost of energy subsidies and U.K. government cash requirements, says Deutsche Bank Research senior economist Sanjay Raja in a note. Raja expects the government net cash requirement and public sector borrowing to fall by GBP10 billion to GBP20 billion in the 2022/23 and 2023/24 fiscal years from the Autumn statement forecast. "Borrowing is running nearly GBP10 bln lower than the OBR's November forecasts," he says. Nonetheless, Raja says that gilt issuance in 2023/24 fiscal year will be historic. ([e-mail])

Contact: London NewsPlus, Dow Jones Newswires;

(END) Dow Jones Newswires

01-05-23 1201ET