TUI Drops as Disruption Costs Weigh

0807 GMT - Shares in TUI drop 1.5% even as the tour operator reported a narrowed third-quarter pretax loss before interest and said it expects to return to positive underlying full-year EBIT. "Despite significant year-on-year improvements to the top and bottom line, TUI is dealing with industry-wide challenges that have resulted in significant problems for passengers including delays, flight cancellations and baggage-handling issues," Interactive Investor's Head of Investment Victoria Scholar says in a note. "This has amounted to disruption costs of EUR75 million in the third quarter, leading TUI to make another quarterly loss and sending shares into the red today." (philip.waller@wsj.com)

 
Companies News: 

RS Group to Buy Mexican Distributor Risoul for $275 Mln

RS Group PLC said Wednesday that it has agreed to buy a distributor of industrial and automation product and service solutions in Mexico for $275 million.

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Admiral Group 1H Pretax Profit Dropped After Booking Higher Costs

Admiral Group PLC reported on Wednesday a significant decline in pretax profit for the first half of 2022 on the back of higher costs, but said that it came in still 19% ahead of pre-pandemic levels.

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Deliveroo 1H Pretax Loss Widened on Consumer Headwinds; Begins GBP75 Mln Share Buyback

Deliveroo PLC said Wednesday that its first-half pretax loss widened due to increased consumer headwinds, and began a 75 million-pound ($90.6 million) share buyback program.

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Royal Mail Warns of Material Losses as Union Moves Forward With Strike

Royal Mail PLC warned on Wednesday that it expects to be materially lossmaking in fiscal 2023 if a proposed strike action takes place.

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Airtel Africa Agrees on $125 Mln Loan to Support Operations, Investments

Airtel Africa PLC said Wednesday that it has signed a $125 million revolving credit facility with Citi, and that it will use the funds to support operations and investments at four of its subsidiaries.

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Civitas Social Housing NAV Per Share Rose Slightly in June Quarter

Civitas Social Housing PLC said Wednesday that it continues to perform in line with expectations and that its net asset value per share increased slightly in the first quarter of fiscal 2023.

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Aviva Plans Further Buyback After 1H Profit Rose

Aviva PLC reported on Wednesday an increase in operating profit for the first half of 2022, backed its dividend guidance for the full year and outlined further plans for capital returns.

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Jubilee Metals 2H Earnings Rose on Higher Production -- Commodity Comment

Jubilee Metals Group PLC on Wednesday reported that its profits increased in the second half of its fiscal year ended June 30. Here's what the Africa-focused mining company had to say:

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Prudential 1H Net Profit Fell Sharply on Pandemic Restrictions, Operating Profit Rose

Prudential PLC reported on Wednesday a 90% net profit fall for the first half of 2022 driven by market volatility amid coronavirus-related restriction impacts, while its headline operating profit rose slightly, but missed market views.

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88 Energy to Raise Up to $7 Mln via Discounted Share Placing

88 Energy Ltd. said Wednesday that it will raise up to 10 million Australian dollars (US$7 million) via a discounted share placing and a bookbuild--and will accept oversubscriptions of up to A$4.9 million--and that it will use the proceeds to finance potential new ventures and as additional working capital.

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S&U Recent Performance Beat Its Expectations, But Remains Cautious

S&U PLC said Wednesday that its performance from May 26 to July 31 in both divisions beat its expectations, though remains cautious of current economic uncertainty.

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Redde Northgate Doubles share Buyback Program to GBP60 Mln

Redde Northgate PLC said Wednesday that it will double its share buyback program in size to a total of up to 60 million pounds ($72.5 million), given its strong start to the financial year and significant shareholder support.

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TP ICAP 1H Pretax Profit Rose on Global Broking Growth; Is Optimistic on 2022 Outlook

TP ICAP Group PLC reported Wednesday a significant rise in pretax profit for the first half of 2022, helped by a rise in revenue at its global broking division, and said it is well-positioned for the remainder of the year.

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Quilter AuMA Fell 12% in 1H on Adverse Market Movements

Quilter PLC on Wednesday reported that its assets under management and administration decreased by 12% in the six months ended June 30.

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Deliveroo Director Simon Wolfson Steps Down From Board

Deliveroo PLC said Wednesday that independent nonexecutive director and Next PLC Chief Executive Simon Wolfson has decided to step down from its board.

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Digitalbox Warns on Slowdown Despite 1H Revenue Beat; Shares Fall

Shares in Digitalbox PLC fell Wednesday after it said challenging conditions could hurt revenue in the second half, despite performance in the first half of the year being significantly ahead of its expectations.

 
Market Talk: 

Prudential 1H's Seen Resilient Amid Challenging Market Backdrop

0747 GMT - Prudential reported a resilient performance in the first half given the difficult macroeconomic backdrop, Citi's analyst Andrew Baker says in a research note. The insurance-and-investment business delivered an annual premium equivalent 8% above market views driven by China, Hong Kong and the growth markets, Baker adds. Although the Hong Kong-China border reopening remains uncertain, consumer surveys confirms that demand should boost once it opens again, the analyst notes. This development--together with a resilient operating performance and continued sales momentum in July--could support Prudential's shares, which are down 20% year-to-date, the analyst notes. Citi has a buy recommendation on stock. (michael.susin@wsj.com)

Aviva's Buyback Will Be on Focus After 1H Beat, Citi Says

0728 GMT - Aviva delivered a decent beat on its 1H operating earnings driven by bulk purchase annuity volumes and margins, while the focus will be on the size of its new buyback plans in 2022, Citi's analyst James Shuck says in a note. The buyback, which was unveiled earlier than expected, is expected to be in the range of GBP250 million-GBP300 million, the U.S. bank forecasts, adding that this represents 2% to 2.5% of the insurer's market capitalization. "We see enough here to reassure about business positioning and monetizing the strong free cash flow yield while leaving room to invest in the business and for bolt-on M&A", the analyst adds. (michael.susin@wsj.com)

Admiral 1H US Motor Insurance Losses, Underwriting Loss Ratio Set to Hit Outlook

0732 GMT - Admiral Group PLC has reported a solid set of results for the first half of 2022 in relation to its U.K. insurance business, but this was offset by its U.S. motor-insurance performance, Jefferies says in a research note. The FTSE 100-listed car-insurance suffered elevated losses in the U.S. due to high claims inflation, the U.S. bank says, noting that it also booked an underwriting year loss ratio of 93% at the half-year, the highest level in more than a decade. "As mentioned in our recent downgrade note, not only will this impact current year earnings, but also future profit commissions," Jefferies says. Shares are up 3.1% at 2,028.00 pence. (sabela.ojea@wsj.com; @sabelaojeaguix)

Deliveroo's First-Half Results Look Strong, Citi Says

0726 GMT - Deliveroo's first-half results were strong, with a better-than-expected Ebitda thanks to the gross profit margin, further signs of rationalization as it intends to exit the Netherlands and a GBP75 million share buyback, Citi says. The U.K. food-delivery company's management also notes that the exit rate of growth in June and July was stronger than through most of the second quarter, Citi analyst Monique Pollard says in a research note. "We expect a positive share-price reaction to this print given the Ebitda beat, strong gross profit margin, better [gross transaction value] exit rate in the second quarter and share buyback announced," she says. Citi retains its buy/high risk rating on the stock and 110 pence price target. Shares are down 2.4% at 93.44 pence. (joseph.hoppe@wsj.com)

 

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

(END) Dow Jones Newswires

August 10, 2022 04:27 ET (08:27 GMT)

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