FTSE 100 Drops as Oil Majors, Miners Fall

FTSE 100 Drops as Miners, Entain Fall; Drug Stocks Rise

0848 GMT - The FTSE 100 drops 0.4%, or 33 points to 7555 as losses for miners and gaming group Entain offset gains for property and drug stocks. Entain falls 1.9% even as it said it has started the year strongly and is trading in line with expectations. Shell, BP, BHP, Rio Tinto and other commodity stocks drop as Brent crude trades flat at around $101 a barrel and metal prices trade mixed following downbeat trading in Asia. Still, AstraZeneca, Glaxosmithkline, Segro and British Land are among the biggest risers. ([e-mail])

 
Companies News: 

De La Rue Sees FY 2022 Adjusted Operating Profit in Line With Market Views

De La Rue PLC said Thursday that it expects to close its fiscal 2022 year with an adjusted operating profit in line with expectations.

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Entain Starts Year in Line With Expectations; Group Net Gaming Revenue Up

Entain PLC said Thursday that it has started the year strongly and is performing in line with expectations, as business benefits from the return of retail following last year's Covid-19-related store closures.

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Robert Walters 1Q Net Fee Income Rose; Boosted by Performance in Asia Pacific, Europe

Robert Walters PLC said Thursday that its net fee income rose in the first quarter of the year as recruitment activity levels continued to increase.

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Countryside, Bellway and Vistry Sign Fire-Safety Pledge

Countryside Partnerships PLC, Bellway PLC and Vistry Group PLC said Thursday that they have signed up to the U.K. government's fire-safety pledge to make buildings fire-safe, and all expect to make additional provisions.

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Bank of Ireland Closer to Private Ownership as Government Extends Share Trading Plan

Ireland's finance department said Thursday that the government has reduced its interest in Bank of Ireland Group PLC to less than 5% and has further extended its share trading plan.

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Shell Warns of Up to $5 Billion Hit From Russia Exit

Shell PLC said Thursday it expects to book accounting charges of up to $5 billion in the first quarter related to its decision to exit its joint ventures with Russian energy giant Gazprom PJSC in the wake of Russia's invasion of Ukraine.

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Ashtead Technology Says It Is Confident in 2022 Views After Strong 1Q

Ashtead Technology Holdings PLC said Thursday that it performed strongly in the first quarter of 2022, underpinning the board's confidence in meeting its expectations for the full year.

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Central Asia Metals on Track to Meet 2022 Production Guidance

Central Asia Metals PLC said Thursday that it is on track to meet its full-year production guidance at the Kounrad site in Kazakhstan and the Sasa site in North Macedonia.

 
Market Talk: 

Bellway's Costs for Fire Safety Seen to Meet Expectations

0758 GMT - Bellway's commitment to addressing fire safety issues in all its buildings higher than 11 meters and built in the last 30 years is in line with recent guidance as it sees an additional provision of GBP300 million, Citi says. The house builder's new provision is in addition to the GBP187 million charged to date, the U.S. bank says. Bellway's costs meeting guidance are prudently estimated based on experience to date and don't factor in any future recoveries pursued across suppliers, subcontractors and professional advisors, City says. The company's shares should rise now that clarity has been given on its legacy liabilities, it says. Citi retains its buy rating and 2,554 pence price target on Bellway's stock. Shares are down 1.3% at 2,522.0 pence. ([e-mail])

Vistry Share Price Looks Well-Supported on Fire-Safety Provision Estimates

0751 GMT - Vistry has signed the pledge committing to addressing fire issues in all developments above 11 meters it has built over the last 30 years, and doesn't expect to increase provisions any further, Citi says. The house builder's incremental remediation costs remain in the range of GBP35 million to GBP50 million, in addition to the fire-safety provisions of GBP25 million it has taken to date, Citi says. "Overall, we believe consensus should be well-supported on the back of the clarity on legacy liabilities," Citi says. The U.S. bank retains its neutral rating and 1,020 pence price target on Vistry's stock. Shares are down 0.1% at 922.5 pence. ([e-mail])

888 Holdings' Revised William Hill Deal Seen as Attractive, With Strategic Merit

0734 GMT - 888 Holdings' deal for William Hill on reduced terms is financially attractive and has strategic merit from diversification by both product and geography, says Jefferies. What's more, cross-sell scope between 888's iGaming and William Hill's sports and some GBP100 million in cost savings are material, mainly by leveraging the proprietary tech platforms and optimizing marketing spend, the U.S. bank adds. Scale and a more efficient balance sheet should also benefit the business, it says. Shares in 888 Holdings trade up 25% at 240.40 pence. ([e-mail])

Entain's 1Q Update Underlines Its Growth Potential, Interactive Investor Says

0733 GMT - Entain's 1Q update shows its growth potential, despite being slightly sullied by an expected drop in online net gaming revenue, Interactive Investor says. The FTSE 100 sports-betting and gambling company faced tough comparators this quarter as 2021's comparable three months were beset with various degrees of pandemic-related lockdowns still being in place, it says. "More positively, however, overall net gaming revenue increased by 31%, underlining the ongoing growth potential of its portfolio of brands, while Retail is now returning to within 5% to 10% of pre-pandemic levels," Interactive Investor says. Although the company faces tougher regulation in the U.K., its operations in the U.S. make its prospects extremely positive, it says. ([e-mail])

Shell's 1Q Update Seen as Positive Given Stronger Trading Results

0724 GMT - Shell's 1Q update is positive given the stronger LNG and oil products trading and better-than-expected results from the chemicals arm, RBC Capital Markets says. LNG sales volumes are in line with prior guidance, whereas trading results improved on the quarter, the bank says, noting that 4Q results were also higher quarter-on-quarter. "This is likely supportive for estimate revisions," RBC says. Similarly, Shell expects significantly higher trading results from the downstream business. The company also warned of impairment and other charges of $4 billion-$5 billion related to its activities in Russia. ([e-mail])

Contact: London NewsPlus, Dow Jones Newswires; Dow Jones Newswires; [e-mail]

(END) Dow Jones Newswires

04-07-22 0517ET