UKX FTSE 100 Index

Frasers Drops After Skipping Dividend, Margins Fall

1045 GMT - Frasers Group drops 8% after the FTSE 100-listed owner of Sports Direct and other retail brands reported higher first-half pretax profit, though margins fell and it didn't declare an interim dividend. Adjusted pretax profit of GBP267 million in the 26 weeks to Oct. 23 slightly exceeded Numis's forecasts, though was more in-line once adjusted for gains and impairments and consistent with management's unchanged 2022-23 guidance, the brokerage says. Despite a softer macro-economic environment and normalization in certain areas, the business continued to achieve positive like-for-like sales and organic growth of 4%, Numis says. "Gross margins fell as expected due to lower full-price sales and dilution from recent acquisitions and disposals," Numis analyst Georgios Pilakoutas writes. (philip.waller@wsj.com)

Companies News: 

BATM Advanced Communications Says it Has Made Solid 2H Progress

BATM Advanced Communications Ltd. said Thursday that it made solid progress in the second half as business returned to normality postpandemic despite supply-chain issues.

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Hipgnosis Songs 1H Loss Narrows on Streaming Growth

Hipgnosis Songs Fund Ltd. said Thursday that its first-half loss narrowed as revenue rose after strong growth from streaming.

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S&U Sees FY 2023 Positive Performance Despite Challenging Backdrop

S&U PLC said Thursday that is performing well despite the macroeconomic uncertainty and it expects the current trend to continue for the remainder of the fiscal year.

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Purplebricks 1H Pretax Loss Widens; Sees Recovery Plan Bearing Fruit in 2H

Purplebricks Group PLC said Thursday that its pretax loss for the first half of fiscal 2023 widened on lower revenue and higher operating costs, but backed its full-year guidance as it sees financial benefits of its recovery plan in the second half.

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Tullow Oil Appoints Richard Miller as Permanent Chief Financial Officer

Tullow Oil PLC said Thursday that it has appointed Richard Miller as chief financial officer from Jan. 1, having held the role on an interim basis since April.

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Balfour Beatty Sees Revenue Ahead on Year, Profit Ahead of Views

Balfour Beatty PLC said Thursday that full-year revenue is seen ahead on year and profit is seen ahead of market expectations.

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In The Style Swung to 1H Pretax Loss on Rising Costs, Lower Revenue

In The Style Group PLC on Thursday reported a swing to pretax loss in the first half of fiscal 2023, driven by higher costs and lower revenue, as consumer sentiment deteriorated amid the uncertain macroeconomic outlook.

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MyCelx Technologies Shares Jump as It Expects to Post in Line FY Results

Shares in MyCelx Technologies Corp. jumped 26% on Thursday after the company said that it expects to end 2022 in line with market expectations.

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Trakm8 Swung to 1H Pretax Loss on Lower Sales, Higher Costs

Trakm8 Holdings PLC on Thursday reported a swing to a half-year pretax loss on the back of lower software sales and higher material costs, but said it is confident of meeting market expectations.

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Thungela Sees 2022 Coal Production Below Views Due Rail Disruption

Thungela Resources Ltd. said Thursday that coal production for 2022 is expected to be below previous guidance, dragged by rail-transport disruptions.

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On the Beach Shares Drop as CEO-Founder to Step Down; Swung to FY 2022 Pretax Profit

On the Beach Group PLC shares dropped 14% on Thursday after it said that founder and Chief Executive Simon Cooper will step down.

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Mears Group Expects to Beat 2022 Forecasts After Strong Performance to Date

Mears Group PLC said Thursday that it has continued to experience strong trading since the half-year earnings report in August and therefore expects to beat full-year market forecasts for revenue and adjusted pretax profit.

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Seraphine 1H Pretax Loss Narrowed; Expects Positive 2H Ebitda

Seraphine Group PLC on Thursday reported a narrowed pretax loss for the first half of fiscal 2023 despite lower revenue after booking an exceptional charge in its accounts last year, and said it expects the second half to be profitable on an Ebitda basis.

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Netcall Says Solid FY 2022 Momentum Has Continued Into 1H

Netcall PLC said Thursday that the solid momentum experienced in fiscal 2022 has continued into the first half of the new year, with increasing demand for its cloud solutions.

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Focusrite Shares Drop After FY 2022 Pretax Profit Fell Amid Increased Costs

Shares in Focusrite PLC slid 11% on Thursday after the company said pretax profit for fiscal 2022 fell as costs increased.

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Falanx Shares Fall After 1H Pretax Loss Widened

Falanx Group Ltd. shares fell as much as 13% on Thursday after the company reported a widened pretax loss in the first half of fiscal 2023 on increased investments in sales and marketing designed to boost growth.

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Vertu Motors Buys Helston Garages for GBP182 Mln

Vertu Motors PLC said Thursday that it is buying Helston Garages Group Ltd. for 182 million pounds ($222.2 million), as flagged last month.

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Aferian Expects to Meet FY 2022 Expectations

Aferian PLC said Thursday that trading has finished the year in line with its expectations and it expects to announce full-year results consistent with the guidance ranges.

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Bluebird Merchant Ventures Raises GBP230,000 to Fund Korean Gold Mine

Bluebird Merchant Ventures Ltd. said Thursday that it raised 230,000 pounds ($280,761) through a share issue, which will be used to fund a permit to develop its Kochang gold and silver mine in South Korea.

 
Market Talk: 

DS Smith Shows Resilience in Worsening Consumer Market

0953 GMT - Shares in DS Smith rise 1% after the packaging company reported higher first-half revenue and pretax profit and said it expected 2022-23 results to be ahead of previous forecasts. Revenue and adjusted operating profit in the six months to Oct. 31 both topped expectations, Citigroup says. Smith is proving to be relatively defensive in a deteriorating consumer environment with its higher exposure to fast-moving consumer goods customers, Citi says. "Overall, we see this as steady progression for SMDS and a further demonstration of its narrative of relative resilience," Citi analysts say in a note, adding that they expect consensus estimate upgrades of mid-single-digit percentages. (philip.waller@wsj.com)

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On the Beach Well Set for Uncertain Year Ahead

1028 GMT - On the Beach Group has a robust setup for another uncertain year ahead, Davy Research's David Reynolds and Christopher Allan say in a note. The U.K. travel retailer--a well-run business navigating challenges capably--is seeing a return to scale, with investment for future growth impacting Ebitda, they add. However, one key takeaway is that CEO and founder Simon Cooper has decided to step down and is beginning his exit from the business, sometime in the coming 12 months, they say. Davy has a neutral rating on the stock. (kyle.morris@dowjones.com)

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Frasers Group Likely to Buy More Brands As Weaker Retailers Struggle

1030 GMT - Frasers Group's first-half performance showed that the acquisition of various companies helped to boost sales, AJ Bell investment director Russ Mould says in a note. The sports-fashion retailer is expected to take advantage of the challenging environment for weaker retailers to buy known brands with discounts, Mould says. Frasers also has proven its ability to drive profits by increasing the offer of products that consumers are still eager to buy, he says. "It puts Michael Murray off to a good start as chief executive and shows to the market that the business is still capable of thriving without Mike Ashley at the wheel," Mould says. (michael.susin@wsj.com)

Contact: London NewsPlus, Dow Jones Newswires;

(END) Dow Jones Newswires

December 08, 2022 06:10 ET (11:10 GMT)

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