UK Public Finances Offer Hopes for Chancellor Despite High February Deficit
0834 GMT - The U.K.'s public finances in February may have raised Chancellor Jeremy Hunt's chances for tax cuts in the fall, Ruth Gregory, deputy chief U.K. economist at Capital Economics, says in a note. Public sector net borrowing, excluding banking groups, actually came in at the highest February deficit since records began in 1993, at GBP16.7 billion, mainly due to the government's energy support programs, she says. But cumulative borrowing this year is below forecasts from the OBR fiscal watchdog, tax receipts were higher than last February, and self-assessed tax receipts in January and February were the highest two-month equivalent on record, giving encouraging signs the economy has become more tax rich, she says. Despite risks that the banking sector's turmoil deepens, the chancellor could have fiscal headroom in the next fiscal update, she adds. (edward.frankl@wsj.com)
Companies News:
Pearson to Sell POLS Business to US Private-Equity Firm Regent LP
Pearson PLC said Tuesday that it will sell its international online program management business Pearson Online Learning Services to Californian private-equity firm Regent LP.
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Staffline Swung to 2022 Pretax Profit; Says Uncertainty Will Persist Through 2023
Staffline Group PLC said Tuesday that it swung to a pretax profit for 2022 after booking lower costs, and that it expected the current uncertainty to persist through 2023.
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Kingfisher FY 2023 Pretax Profit Fell on Higher Costs
Kingfisher PLC reported on Tuesday a fall in pretax profit for fiscal 2023 on the back of higher costs, but said that performance was in line with the board expectations against strong prior year comparatives.
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React Group Sees Contract Win Momentum, Views Future With Cautious Optimism
React Group PLC said Tuesday that it is enjoying good contract win momentum with sales growth across all three divisions of its business, and it views the future with cautious optimism.
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Trustpilot Eyes Profitability in 2023; CEO to Step Down
Trustpilot AS said Tuesday that it expects to report positive adjusted earnings in 2023 as it posted a narrower pretax loss for 2022, and that its chief executive is stepping down.
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SThree 1Q Net Fees Rose, Boosted By Increase in Contract Fees
SThree PLC said Tuesday that net fees rose in the first quarter of fiscal 2023 as contract fees increased in almost all its markets.
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Pebble Group Pretax Profit, Revenue Rose Above Market Views in 2022
Pebble Group PLC said Tuesday that pretax profit and revenue rose in 2022, with results slightly ahead of market expectations.
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SThree 1Q Net Fees Rose, Boosted By Increase in Contract Fees
SThree PLC said Tuesday that net fees rose in the first quarter of fiscal 2023 as contract fees increased in almost all its markets.
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SpaceandPeople 2H Performance Was Strong; 2022 Revenue in Line With Views
SpaceandPeople PLC said Tuesday that its performance in the second half of 2022 was strong and that revenue for the year was in line with market expectations.
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ScS Group 1H Pretax Loss Widened, Sees In-Line FY 2023 Pretax Profit
ScS Group PLC said Tuesday that pretax loss for the first half of fiscal 2023 widened on the back of higher costs, but it expects full-year pretax profit to be in line with market expectations.
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Fintel 2022 Pretax Profit Fell; Names New Chair
Fintel PLC on Tuesday reported a fall in pretax profit for 2022 and appointed Phil Smith a its new chair.
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Brand Architekts 1H Pretax Loss Widened on Higher Costs; Focuses on Strategy
Brand Architekts Group PLC said its pretax loss for the first half of fiscal 2023 widened after booking higher costs stemming from an acquisition, and that its attention will remain on delivering its strategy and returning to group profitability.
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Henry Boot 2022 Profit, Revenue Rose on Strong Sales; Confident in Midterm Targets
Henry Boot PLC said Tuesday that 2022 pretax profit and revenue both significantly rose on strong land, development and house sales activity, and while the company remains cautious near term, it expects to meet medium-term targets.
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YouGov Pretax Profit, Revenue Rose on Growth; Backs FY 2023 Views
YouGov PLC said Tuesday that pretax profit and revenue rose in the first half of fiscal 2023 as it benefited from growth in all regions, especially the U.S., and said that it expects to meet full-year market forecasts.
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Manx Financial 2022 Pretax Profit Rose on Interest Income Boost
Manx Financial Group PLC on Tuesday reported a rise in pretax profit for 2022, boosted by higher interest revenue.
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Pressure Technologies Sees Wider FY 2022 Loss on Accounting Correction
Pressure Technologies PLC said Tuesday that it expects to report a wider adjusted operating loss in fiscal 2022 due to an accounting correction, though there will be a corresponding profit increase in future years.
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Scottish Mortgage Investment Trust Says Chair Fiona McBain to Step Down
Scottish Mortgage Investment Trust PLC said Tuesday that Chair Fiona McBain will step down and that Justin Dowley will succeed her with effect from the conclusion of its 2023 annual general meeting.
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Gamma Communications 2022 Pretax Profit Fell on Impairments; Increases Dividends
Gamma Communications PLC said Tuesday that pretax profit fell in 2022 due to impairment charges, but revenue and earnings rose, and that it increased dividends.
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AB Dynamics Sees Encouraging 1H Performance, Backs Full-year Views
AB Dynamics PLC said Tuesday that performance in the first six months of fiscal 2023 was encouraging and in line with management expectations, and back its full-year views.
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Wynnstay Group Starts Fiscal 2023 in Line With Expectations
Wynnstay Group PLC said Tuesday that it has performed broadly in line with management expectations in the first four months of fiscal 2023.
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Kape Technologies 2022 Profit, Revenue Surged on Strong Organic Growth
Kape Technologies PLC said Tuesday that its 2022 pretax profit almost tripled along with revenue, driven by significant organic growth across digital privacy, security, and content divisions and strong market tailwinds.
Market Talk:
Kingfisher Has Sales Potential Despite Faltering Growth Signs
0836 GMT - Kingfisher's FY 2023 numbers highlight the progress that has been made since before the pandemic, however it also shows some signs of faltering growth, Interactive Investor head of markets Richard Hunter says in a note. The home-improvement retailer's set of results were hampered by last year's impressive performance, with both revenue and like-for-like sales falling by 2%, Hunter says. "More positively, from a strategic perspective Kingfisher still has some firepower in its locker. The continued trend of hybrid working and energy efficiency renovations continues to underpin sales, while the strength of the Screwfix brand is being exported to overseas," he says. (michael.susin@wsj.com)
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Kingfisher's FY 2023 Earnings, Current Trading Seen as Reassuring
0809 GMT - Kingfisher's FY 2023 performance was reassuring given the better-than-expected profit, partly supported by tighter cost control, Citi analyst Ami Galla says in a note. The home-improvement retailer reported underlying pretax profit of GBP758 million, beating the consensus of GBP741 million, while the group supports current FY 2024 underlying pretax profit consensus of GBP633 million, Galla says. Kingfisher's current trading has been also encouraging, partly driven by resilient trends for big ticket items, the analyst adds. "We do not expect significant changes to consensus on the back of this update(...)focus into the call is likely to be on the underlying cost inflation and gross margin moves across its markets," Galla adds. (michael.susin@wsj.com)
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Central Banks to Differentiate Between Price and Financial Stability Goals
0810 GMT - Central banks will want to push ahead with policy tightening plans, according to Mizuho's analysts who expect a differentiation between price targets and financial stability goals. The U.S. Federal Reserve will confirm decisions on Wednesday, followed by the Bank of England on Thursday. "We expect them to make a strong differentiation between their price and financial stability goals, in line with [European Central Bank President Christine] Lagarde and the ECB," Mizuho rates strategist Evelyne Gomez-Liechti and head of research Helen Rodriguez say in a note. "Keeping financial conditions tight likely continues to be a priority; the rate cuts priced for early H2-23, in the case of the Fed, look too extreme to us," they say. (emese.bartha@wsj.com)
Contact: London NewsPlus; paul.larkins@wsj.com
(END) Dow Jones Newswires
03-21-23 0455ET
