UK House-Builders Trade Mixed After Vistry Update
1019 GMT - U.K. house-builders trade mixed after Vistry Group forecast higher full-year 2022 adjusted pretax profit in line with guidance as selling prices increased, though it flagged short-term market uncertainty. The house-builder's affordable-housing partnerships business has helped it weather tough trading and the company enters FY23 with a significant GBP4.6 billion order book, brokerage Davy says. "While the private order book is down from GBP1.3bn a year ago to GBP1.0bn now, this is a better performance than we've seen from other builders," Davy analyst Colin Sheridan says in a note. Shares in Vistry rise 0.9% and the FTSE 100's Persimmon and Berkeley Group also rise, though Taylor Wimpey and Barratt Developments fall. (philip.waller@wsj.com)
Companies News:
Pearson to Report Rise in 2022 Underlying Sales
Pearson PLC said Wednesday that it expects to report a rise in underlying sales for 2022, and that it finished the year ahead of the board's expectations.
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Burberry 3Q Store Sales Rose but Missed Market Views Due to China Covid-19 Disruption
Burberry Group PLC said Wednesday that third-quarter comparable store sales rose slightly, but missed market views due to the impact of the Covid-related disruption in China, while retail revenue rose.
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Smiths Group Raises FY 2023 Forecast After Strong 2Q Performance
Smiths Group PLC on Wednesday raised its full-year guidance after a strong second-quarter performance.
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Antofagasta Expects Higher Costs in 2023; 2022 Output in Line With Guidance
Antofagasta PLC on Wednesday said that it expects both its net cash costs and production to rise in 2023, and reported that production for 2022 was in line with its guidance.
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QinetiQ Says 3Q Operational Performance Was Good; FY 2023 in Line With Views
QinetiQ Group PLC said Wednesday that its operational performance in the third quarter of fiscal 2023 was good, and that it remained on track to deliver results in line with expectations for the year.
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Currys Christmas Sales Slipped, Backs FY 2023 Guidance
Currys PLC on Wednesday said sales during its peak Christmas period fell as weak performance in its international market was partly compensated by stronger U.K. and Ireland sales, and backed its full-year guidance.
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Vistry Sees 2022 Adjusted Profit Rising, Increased Order Book
Vistry Group PLC said Wednesday that it expects to report that full-year 2022 adjusted pretax profit rose in line with guidance on higher selling prices, and that its order book grew on year.
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H&T Says 2022 in Line With Views After Strong 4Q
H&T Group PLC said Wednesday that its performance in the fourth quarter remained strong, and that the board was confident full-year results will be in line with market forecasts.
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WH Smith Sees Further Growth in FY 2023 Driven by Travel-Business Performance
WH Smith PLC said Wednesday that revenue for the 20 weeks to Jan 14. rose, supported by a robust start to the financial year, and that it is confident for growth in fiscal 2023.
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Ibstock 2022 Revenue Rose; Sees 2023 Demand Hurt by Inflation, Market Uncertainty
Ibstock PLC said Wednesday that it expects to report a 25% rise in 2022 revenue with adjusted Ebitda seen ahead of the board's expectations, and that it expects demand in 2023 to be hurt by inflation, high interest rates, and market uncertainty.
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Rathbones Group Funds Under Management and Administration Fell in 2022
Rathbones Group PLC said Wednesday that total funds under management at Dec. 31 fell as market volatility hit its investments.
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S4 Capital 4Q Performance Met Views; Expects 2022 Operational Ebitda Rose
S4 Capital PLC said Wednesday that its fourth-quarter performance met its expectations, and that it expects to repost at least 120 million pounds ($147.4 million) of operational earnings before interest, taxes, depreciation and amortization in 2022.
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Team17 Group to Beat 2022 Revenue, Adjusted Ebitda Forecasts After Strong 2H
Team17 Group PLC said Wednesday that it expects to beat revenue and adjusted Ebitda market forecasts for 2022 after a strong second-half performance.
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Liontrust 3Q Assets Under Management Edged Up
Liontrust Asset Management PLC said Wednesday that assets under management and advice for the third quarter of fiscal 2023 rose 2.9% over the period.
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Gateley 1H Pretax Profit Rose on Higher Consultancy Services Revenue
Gateley (Holdings) PLC said Wednesday that pretax profit rose for the first half of fiscal 2023 as revenue from its consultancy services grew, but flagged a more challenging second half.
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Galliford Try 1H Met Views; Well Placed for Fiscal 2023
Galliford Try Holdings PLC said Wednesday that its performance in the first half of fiscal 2023 was in line with its expectations, and that it was well placed for the full year.
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Streaks Gaming New Registrations Soared in 2022 on AI Improvements
Streaks Gaming PLC said Wednesday that it has seen a significant increase in 2022 key metrics compared with the previous year driven by further investment in artificial intelligence.
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Midwich Shares Rise on Expected 2022 Revenue, Profit Growth
Shares of Midwich Group PLC rose Wednesday after the company said that it expects to report strong 2022 revenue growth and adjusted pretax profit comfortably ahead of market expectations following a positive finish to the year.
Market Talk:
Risk Premia in Long-Dated Gilts Fades as Pension, LDI Funds Reinvest
1020 GMT - The risk premia in longer-dated U.K. government bonds is diminishing as pension funds [PF] and liability-driven investment [LDI] funds reinvest, Pooja Kumra, senior European and U.K. rates strategist at TD Securities, writes in a note. "The general risk premia linked to GBP long-end seems to be fading with stronger liquid positions in the PF/LDI community," Kumra writes. In the short term, TD Securities envisages that gilts will become more expensive as a result, driving yields lower. Risk premia was built into gilt prices after last autumn's U.K. mini-budget proposed large unfunded tax cuts, causing chaos in gilt markets before the plans were later reversed. The 10-year gilt yield rises 2.9 basis ponts to 3.365%, according to Tradeweb. (emese.bartha@wsj.com)
Currys Outlook To Turn Positive Beyond FY 2023, Liberum Says
1018 GMT - Currys offers significant upside as markets turn favorable, says Liberum in a note. Analysts Adam Tomlinson and Wayne Brown say that if it weren't for the worsening of its international markets flagged in its update comprising the 10 weeks to Dec. 31, guidance would have been upgraded twice. "As underlying markets turn more favorable, alongside further self-help, this will make for a very positive outlook," they say, keeping a buy rating on the stock. The current valuation only discounts fiscal 2023's level of cyclically low earnings, which gives a very attractive risk/reward profile offering significant upside, the analysts add. Shares rise 8.6% at 65.1 pence. (elena.vardon@wsj.com)
Gilt Market Should Absorb Syndication, BOE's Long Gilt Sales
0958 GMT - The U.K. gilt market is well-positioned to absorb next week's syndicated launch of a new 30-year gilt and the start of long-dated gilt sales by the Bank of England the following week without any problems, Pooja Kumra, senior European and U.K. rates strategist at TD Securities, writes in a note. Next week's October 2053 gilt syndication will be a key driver for supply, though given the "smooth reduction" of the BOE's temporary gilt purchases from last autumn, "we doubt that it will be met with much friction at least to begin with," she says. The syndication will be the sixth and final transaction of the U.K. Debt Management Office's 2022-2023 syndication program. (emese.bartha@wsj.com)
Gilt Yields Edge Higher as UK Inflation Remains Elevated
0940 GMT - U.K. gilt yields rise slightly, and by more than their German counterparts, after U.K. inflation declined in line with expectations but remained elevated. The U.K. annual consumer price index rose by 10.5% in December, down from 10.7% in November. The 10-year gilt yield rises nearly 4 basis points to 3.372%, while the 10-year German Bund yield is up just under 2 basis points, according to Tradeweb. "Today's numbers provide more evidence that the headline measure has peaked," Investec chief economist Philip Shaw writes in a note. Investec expects the Bank of England to raise the bank rate by 25 basis points to 3.75% in February but says a 50bp increase can't be ruled out. (emese.bartha@wsj.com)
Contact: London NewsPlus; paul.larkins@wsj.com
(END) Dow Jones Newswires
01-18-23 0538ET
