Sterling Stays Weaker After UK PMI Data

Sterling remains at weaker levels after data showed U.K. services activity expanded at faster pace but manufacturing activity growth slowed in March. The S&P Global/ CIPS U.K. services purchasing managers' index rose to 61.0 in March from 60.5 in February, with a level above 50 indicating growth. The manufacturing PMI fell to 55.5 in March from 58.0 in February. Economists polled by the WSJ expected a services PMI of 58.0 and a manufacturing PMI of 57.0. The survey showed worries about escalating inflationary pressures and the impact of the Ukraine war on customer demand resulted in a sharp drop in business optimism. GBP/USD trades at 1.3169 and EUR/GBP is at 0.8349, both little changed after the data. 


 
Companies News:

Games Workshop Raises Dividend; Sees Performance In Line

Games Workshop Group PLC said Thursday that business in the three months to the end of February met its expectations, and declared a dividend of 70 pence (92.4 cents) a share.

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Arbuthnot Banking Swung to 2021 Pretax Profit; Resumes Dividend

Arbuthnot Banking Group PLC on Thursday reported a swing to a pretax profit in 2021 on the back of lower costs after the integration of Asset Alliance, and declared a dividend payout.

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Next Says FY 2022 Pretax Profit Rose Ahead of Views But Lowers Guidance

Next PLC reported Thursday a rise in pretax profit for fiscal 2022 ahead of management views, said it has lowered its sales and profit guidance for fiscal 2023 due to the effects of Russia's invasion of Ukraine.

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Kin & Carta 1H Pretax Loss Narrowed, Revenue Rose on Strong Demand

Kin & Carta PLC said Thursday that pretax loss for the first half of fiscal 2022 narrowed on year while revenue rose on strong demand and increasing spending from clients.

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EnQuest Swung to 2021 Pretax Profit on Revenue Rise Amid Higher Oil Prices

EnQuest PLC said Thursday that it swung to a pretax profit on increase revenue as oil prices rose, which was partially offset by lower production.

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Bridgepoint Group 2021 Pretax Profit Rose, Declares Dividend

Bridgepoint Group PLC said Thursday that 2021 pretax profit and revenue rose, increased driven by its core businesses of private equity and private debt.

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International Public Partnerships 2021 Profit Rose on Covid-19 Recovery

International Public Partnerships Ltd. said Thursday that its 2021 profit and revenue rose due to a recovery from coronavirus pandemic-driven disruption, and declared an increased dividend.

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Playtech Swung to 2021 Pretax Profit, Higher Revenue on Strong Performance From Snaitech, B2B Online

Playtech PLC said Thursday that it swung to a pretax profit on increased revenue, driven by Snaitech and B2B online, particularly in Latin America.

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Next Lowers FY 2023 Sales, Profit Guidance on War and Inflation Effects

Next PLC reported Thursday a rise in pretax profit for fiscal 2022 ahead of management views, but said it has lowered its sales and profit guidance for fiscal 2023 due to the effects of Russia's invasion of Ukraine and general inflation.

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CVS Group 1H Pretax Profit Rose; FY 2022 Expected to Be In Line With Views

CVS Group PLC on Thursday reported a rise in pretax profit for the first half of fiscal 2022 and said that it expects to close the year with full-year earnings in line with management views.

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Eve Sleep 2021 Pretax Loss Widened, Shares Fall

Eve Sleep PLC shares fell on Thursday after the company reported a widened pretax loss for 2021 as the group booked more expenses.

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Robinson Swung to 2021 Pretax Loss on Higher Costs; Volatility to Continue in 2022

Robinson PLC said Thursday that it swung to a 2021 pretax loss after booking higher costs, and that the substantial uncertainty and volatility it experienced last year is likely to continue through 2022.

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Tungsten Shares Rise After Pagero Says It Is Mulling Takeover, Trumping Kofax

Shares in Tungsten Corp. jumped 19% on Thursday after Pagero Group AB said that it is considering a potential 56.9 million pound ($75.1 million) offer for the London-listed digital financial-management company, trumping an agreed takeover by Kofax Parent Ltd.

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Big Technologies 2021 Pretax Profit, Revenue Rose on New Contracts, Expanded Deals With Existing Customers

Big Technologies PLC said Thursday that 2021 revenue and pretax profit rose as it booked new contract wins and an increase in revenue from existing customers.

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Energean 2021 Revenue Soared; To Pay Dividend Over Karish Production Start

Energean PLC said on Thursday that revenue soared on a higher price environment and that it expects to declare dividends after its main project will start producing.

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Lloyd's Of London Swung to 2021 Pretax Profit; Sees Major Claims Due to Ukraine War

Lloyd's Of London reported on Thursday a swing to pretax profit in 2021, saying it was the best result reported for seven years, but it expects the ongoing conflict in Ukraine to present a major claim to the market in 2022. 


 
Market Talk:

UK Economic Growth Likely to Take Hit in 2H22

1038 GMT - U.K. economic growth is likely to take a hit from the cost of living crisis and to slow materially in the second half of this year, forcing the Bank of England to decelerate its cycle of monetary tightening, says Morgan Stanley. The U.S. investment bank says U.K. households are facing the largest fall in disposable income since records began in the 1950s and it doesn't expect the savings rate to fall sharply enough to prevent a drop in private consumption. "We continue to expect growth to grind to a halt in 2H22, with the BOE slowing its hiking pace then," Morgan Stanley analysts say.

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Pantheon Resources' Well Test Looks Positive But More Data Needed

1033 GMT - Pantheon Resources' Theta West#1 well-test flowed light oil at a good rate, maintaining recent positive progress from elsewhere at the Alaska site, Canaccord Genuity says. The oil-and-gas explorer's well confirms the large scale of the Theta West discovery and is a substantial step forward, though there is still much to be done to properly assess the size of the find and determine its commerciality, the Canadian investment bank says. "In our view, the Alkaid horizontal well and extended testing, planned for this summer, will be a further significant data point towards assessment of the commerciality of Pantheon's discoveries so far," Canaccord says, maintaining its speculative buy rating and 220 pence price target. Shares are up 12% at 139.0 pence.

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Surface Transforms New GBP100 Mln Deal Boosts Visibility

1017 GMT - Surface Transforms new GBP100 million contract with OEM 8, which replaces a previous GBP27.5 million contract from 2020, takes the order book to GBP180 million, Finncap says. The manufacturer of reinforced carbon-fiber brake discs will be the sole supplier of disks on both axles of a high performance derivative of an existing model, the investment bank says. "This derivative has seen demand well in excess of what was originally envisaged and start of production now commences in spring 2022," Finncap says. The bank says the deal will give it the visibility to begin introducing forecasts up to 2024. Finncap retains its 69 pence a share price target. Shares are up 23% at 51.5 pence.

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Playtech Look Likely to See M&A Action

1017 GMT - Playtech is likely to receive an attractive takeover offer or, if not, attractive offers for its component parts, says Peel Hunt after the gambling-technology company posted 2021 results that were stuffed with good things. Key corporate transactions are pending including a possible offer from the TTB investor group and separate approaches for divisions, and the completion of the sale of Finalto, the U.K. brokerage says. Elsewhere, the impact of possible U.K. regulatory change is uncertain and the company may see a material impact from supporting its more than 700 colleagues in Ukraine, Peel Hunt says. The brokerage has a buy rating on Playtech with a 800-pence target price on the stock. Shares trade up 1.1% at 615 pence.

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Games Workshop's Dividend Declaration a Positive Surprise

0953 GMT - Games Workshop's brief trading update for the three months to February outlines that its performance in the quarter has met expectations, and it declared a 70-pence dividend, Goodbody says. The miniature-wargaming company's dividend, combined with prior distributions, bring the total dividends for the year up to 235 pence a share, the Irish brokerage says. "For the year to May we forecast revenue of GBP392 million, adjusted earnings per share of 386 pence and dividends per share of 240 pence and hence Games Workshop is clearly trending ahead of the latter," Goodbody says. Goodbody retains its buy rating on Games Workshop's stock. Shares are up 11% at 7,915.0 pence.


Contact: London NewsPlus, Dow Jones Newswires; Write to Sarka Halas at sarka.halas@wsj.com

(END) Dow Jones Newswires

03-24-22 0700ET