Rolls-Royce Shares Fall on Slower Recovery Concerns
09 December 2021 - 8:28PM
Dow Jones News
Rolls-Royce Shares Fall on Slower Recovery Concerns
0848 GMT - Rolls-Royce shares fall 3.2% after releasing a
trading update. While things are moving in the right direction, the
engine-maker is still set to fall short of its 2021 target for
large engine flying hours, Michael Hewson at CMC Markets says. This
isn't surprising given what has been happening with the Delta
coronavirus variant in Europe and latterly Omicron, and
international travel is likely to remain a headwind heading into
next year, he says. Rolls-Royce returned to positive free cash flow
in 3Q, but the company still has some way to go to reach its 2022
free cash flow target of GBP750 million, and much of this will
depend on when and if international travel returns to normal,
Hewson says. (jaime.llinares@wsj.com)
Companies News:
Rolls-Royce Returned to Positive Free Cash Flow in 3Q
Rolls-Royce Holdings PLC said Thursday that it restored positive
free cash flow in the third quarter.
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Farfetch Snaps Up Resale Platform as Secondhand Luxury Keeps On
Growing
Farfetch Ltd. has acquired luxury resale platform Luxclusif as
the sector's interest in the second-hand market grows apace,
marking the latest expansion at the British-Portuguese e-commerce
firm.
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Frasers 1H Pretax Profit Rose Significantly; Sees FY Growth
Frasers Group PLC on Thursday reported a significant rise in
pretax profit for the first half of fiscal 2022 and said that it
expects to post a materially stronger adjusted pretax profit for
the full year if there are no additional Covid-19 lockdowns in the
U.K., particularly during Christmas.
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DS Smith 1H Pretax Profit, Revenue Rose; Increases Dividend
DS Smith PLC said Thursday that pretax profit and revenue rose
for the first half of fiscal 2022 and that it has increased the
interim dividend.
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ITV Studios Revenue Seen Recovering to 2019 Levels in 2022
ITV PLC said Thursday that total revenue for its ITV Studios
unit should recover to 2019 levels in 2022.
---
Harbour Energy Introduces $200 Mln Annual Dividend
Harbour Energy PLC said Thursday that it will introduce a $200
million annual dividend, as it expects to remain free cash flow
positive every year in the medium term at current forward commodity
prices.
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Hikma Signs Deal to Commercialize Gedeon Richter's Osteoporosis
Treatment
Hikma Pharmaceuticals PLC said Thursday that it has signed a
deal to commercialize Gedeon Richter PLC's denosumab in the
U.S.
---
Market Talk:
Frasers 1H Came in Ahead of Views, But It Still Faces
Headwinds
0833 GMT - Frasers's set of results for the first half of fiscal
2022 were better than expected, RBC Capital Markets says. The U.K.
sports-fashion retailer's performance shows it is in a good
position given the momentum in the core sports retail businesses
and stronger-than-expected full-price sales, the Canadian bank
adds. However, execution risk is higher than average for Frasers
and it may be challenging to scale its luxury offer outside of
regional U.K. cities, it says. At the same time, department stores
continue to face structural pressures and a gradual loss of their
range advantage to online players, RBC adds. "Finally Frasers
continues to lag the sector on ESG practices, which is likely to
constrain its appeal to investors," it notes. (sabela.ojea@wsj.com;
@sabelaojeaguix)
Contact: London NewsPlus, Dow Jones Newswires; Dow Jones
Newswires; paul.larkins@wsj.com
(END) Dow Jones Newswires
December 09, 2021 04:13 ET (09:13 GMT)
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