FTSE 100 Falls as Industrial, Packaging Stocks Drop

FTSE 100 Falls as Industrial, Packaging Stocks Drop

0925 GMT - The FTSE 100 Index drops 0.6%, or 46 points to 7450 as industrial and packaging stocks fall, offsetting gains for tobacco and property shares. Croda International, Melrose Industries, Spirax-Sarco Engineering, Mondi and Smurfit Kappa are among the biggest fallers after downbeat trading in Asia and ahead of central bank interest-rate decisions later. Still, BAT and Imperial Brands rise, while Land Securities and British Land also gain. "European markets are in the red, taking their cue from a negative close on Wall Street last night, Interactive Investor says. "Focus shifts to the European Central Bank and the Bank of England today, which are both expected to also hike rates by 50 basis points each," Interactive's head of investment, Victoria Scholar, writes. ([e-mail])

 
Companies News: 

Serco Sees 2022 Revenue Slightly Above Views; 2023 Revenue Rising

Serco Group PLC said Thursday that it expects 2022 revenue to rise on year slightly ahead of guidance, and 2023 revenue to marginally increase.

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Sika-MBCC Proposal to Divest Some Assets After Merger Accepted by UK Antitrust Body

The U.K.'s competition watchdog accepted a proposal from Sika AG and MBCC Group to sell some of MBCC's assets, a move that the regulator says would prevent their merger from harming the British construction industry.

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Currys Cuts FY 2023 Guidance on Profit Dip After International Market Disruption

Currys PLC said on Thursday that guidance for fiscal 2023 has been downgraded after swinging to a pretax loss in the first half due to the disruption of its international markets and actions taken in face of competitors' heavy discounting.

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Drax Sees 2022 Ebitda Slightly Above Market Views

Drax Group PLC on Thursday said it expects 2022 earnings to be slightly above the top range of analyst expectations, reflecting strong pumped storage and hydro performance in its second half.

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STV Group Sees 2022 Advertising Revenue Slipping Slightly; Beating Prepandemic Levels

STV Group PLC said Thursday that it expects total advertising revenue for 2022 to slip 2% when compared with its record prior year, though remaining up 8% on 2019's prepandemic levels.

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DX (Group) Performance Continues to Meet Management Expectations

DX (Group) PLC said Thursday that performance since its business update in mid-November has continued to be in line with management expectations, and the pipeline of new business opportunities continues to be healthy.

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Tlou Energy to Raise A$3.1 Mln Toward Lesedi Project in Botswana

Tlou Energy Ltd. said Thursday that it is raising 3.1 million Australian dollars (US$2.1 million) via a share placing which will be used toward its Lesedi power project in Botswana.

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Biffa Swung to 1H Pretax Profit on Higher Prices

Biffa PLC on Thursday reported a swing to pretax profit for the first half of fiscal 2023 as price increases boosted its revenue and said it is well placed to trade through a potentially more challenging second-half.

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Actual Experience's FY 2022 Revenue Fell on Fewer Contracts

Actual Experience PLC said Thursday that revenue for fiscal 2022 declined due to contracts that weren't renewed during the year.

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Zotefoams Sees 2022 Adjusted Pretax Profit Beating Market Views

Zotefoams PLC said Thursday that performance since its business update has remained strong, and it now expects 2022 adjusted pretax profit to beat market expectations.

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Hunting Sees Higher 2023 Ebitda on Strong Order Book

Hunting PLC said Thursday that it is increasing its earnings target for 2023, driven by a strong sales order book.

 
Market Talk: 

Oil Halts Winning Streak After Fed Meeting

0837 GMT - Oil prices edge downward after Fed officials indicated they expect interest rates to reach higher-than-expected levels and keep them there until 2024. Brent crude oil weakens 0.7% to $82.11 a barrel, while WTI declines 0.9% to $76.53 a barrel. The declines threaten to halt three days of gains for Brent, the international benchmark for oil. The Fed's latest predictions on the course for interest rates come despite softening inflation data, which investors had hoped would make Fed officials less hawkish on rates. "Talk to any trader, and they will tell you they are at odds with the Fed inflation outlook," says Stephen Innes, managing partner at SPI Asset Management. ([e-mail])

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Serco Looks a Strong Company Given Guidance and Momentum

0816 GMT - Serco's business update points to a trading profit of GBP235 million, slightly ahead of prior forecasts and guidance of GBP232 million and GBP230 million, respectively, with in-line 2023 guidance, RBC says. The U.K. outsourcing company has highlighted several moving parts for 2023 with some contract attrition and coronavirus work dropping out, which it expects to be offset by new business wins, RBC analysts Andrew Brooke and Karl Green say in a research note. "We continue to see Serco as a good place to be in the current uncertain environment given its defensive nature, high visibility, strong momentum, balance sheet strength and undemanding valuation," the Canadian bank says. RBC retains its outperform rating and 210-pence price target on Serco's stock. Shares are down 0.6% at 156.8 pence. ([e-mail])

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Currys' Short-Term Uncertainties Might Put Shares Under Pressures

0758 GMT - Currys shares are likely to be under pressure on Thursday due to near-term uncertainties after the group reported weaker demand and aggressive pricing by competitors in 1H, Liberum analysts Adam Tomlinson and Wayne Brown say in a note. However, the retailer reported a better-than-expected adjusted EBIT of GBP29 million, against Liberum's forecast of GBP9 million, reflecting resilient U.K. market performance, they say. Despite the short-term challenges, Currys could have material upside ahead as the market recovers and profitability improves, they note. "International [market's] strong track record gives us confidence in a rebound when the market normalizes, and the group has over GBP500 million of liquidity headroom," the analysts add.([e-mail])

Contact: London NewsPlus; [e-mail]

(END) Dow Jones Newswires

12-15-22 0444ET