LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Tuesday.
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FTSE 100 - WINNERS
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BP, up 1.3%. The oil and gas major reported a steep drop in earnings and revenue in the third quarter of the year as a result of lower world oil prices, but said it is committed to sustaining its dividend and plans to have "balanced cashflows" by 2017. BP reported a replacement cost profit of USD1.23 billion in the third quarter of 2015, a steep fall from the USD2.38 billion profit reported a year earlier as revenue fell to USD55.87 billion from USD94.76 billion. Revenue fell due to the drop in oil prices, which offset a 4.4% year-on-year rise in production during the quarter, which ended September 30.
St James's Place, up 1.0%. The wealth manager said its net inflow of funds under management improved year-on-year in the third quarter, as the group continues to grow its business. The company said its net inflow of funds under management in the quarter to the end of September was GBP1.48 billion, up from GBP1.26 billion in inflows a year earlier. Total funds under management for the company increased to GBP54.5 billion at the end of the quarter, up from GBP49.1 billion a year earlier.
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FTSE 100 - LOSERS
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Anglo American, down 2.7%, BHP Billiton, down 2.2%, Rio Tinto, down 1.4%. Miners were trading lower as aluminium, copper and zinc prices all were lower Tuesday.
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FTSE 250 - WINNERS
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TalkTalk Telecom Group, up 9.0%. A 15-year-old boy was arrested on Monday in Northern Ireland over the cyber-attack on the telecommunications company last week. On Monday, the company said the investigation conducted so far into the cyber-attack has shown that sensitive financial information, including credit and debit card numbers, were protected, though it said bank account numbers and sort codes have been accessed. Without more information, however, TalkTalk said criminals will not be able to take money from customers' bank accounts and, even with more information, the risks are "very small indeed".
DS Smith, up 1.5%. The recycled packaging manufacturer said trading has been in line with its expectations in the first half of its financial year to the end of October, with continued growth in volume and margins. The company said it has continued to manage its asset portfolio and has recently completed the acquisitions of Duropack, Lantero and a Greek packaging business. The performance of the businesses that DS Smith has acquired has been ahead of its expectations, the company said.
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FTSE 250 - LOSERS
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Nostrum Oil & Gas, down 4.3%. The oil and gas company lowered its full-year production guidance due to unexpected repair work and reported a fall in production during the first nine months of 2015 that also will see revenue almost halve. Nostrum reported a fall in production in the first nine months of 2015, averaging 44,042 barrels of oil equivalent per day compared to 45,204 barrels per day a year earlier. For the first nine months of 2015, Nostrum is expecting revenue to be "in excess" of USD370.0 million, compared to around USD620.0 million a year earlier, reflecting lower production levels and lower oil prices.
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MAIN MARKET AND AIM - WINNERS
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Strat Aero, up 6.2%. The drone maker said its Geocurve Holdings inspection and surveying arm has been notified that it is set to win a GBP1.3 million contract. Geocurve has been notified by Barhale, a UK infrastructure-focused civil engineering company, of its intention to award Geocurve a GBP1.3 million contract to provide engineering, inspection and surveying services under a five-year contract. The deal is part of the GBP1.25 billion framework agreement Barhale has in place with Anglian Water, the water utility.
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MAIN MARKET AND AIM - LOSERS
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Chemring Group, down 32%. The countermeasures, sensors and electronics maker warned on its profit outlook for the full year after saying there is potential for revenue from the 40mm ammunition contract it announced in September to be delayed. It said there is now a "realistic prospect" that its underlying operating profit for the year to the end of October could fall by around GBP16.0 million to about GBP33.0 million. Chemring has now entered talks with debt providers to negotiate amendments to its debt covenants and the waiver of any default that could arise from a delay to the contract revenue and will launch a GBP90.0 million rights issue to ease its debt problems.
Amino Technologies, down 27%. The digital entertainment company warned its full year profit will be below expectations because of a shortfall in revenue from its "core" business during the second half of the year, calling its sales efforts unsatisfactory. The UK-based digital entertainment company said although profit before tax and exceptional items will be lower than expected, it will be "in line" with profit from the previous financial year. To address its sales issues, the company said it has implemented a "series of targeted actions" across the business, but did not divulge any further details.
Dialight, down 11%. The LED technology company outlined the result of its recently-undertaken strategic review, with a range of targets set out to 2018, as its current trading continued to suffer from a downturn in orders from the oil and gas sector. Dialight said it will focus on delivering profitable growth and said it will not pay a dividend for the full year. It will re-evaluate its dividend policy in due course, but at present does not expect to pay a dividend before 2017. In the third quarter of this year, the troubles facing the company continued, as further weakness in the oil and gas sector translated into weaker orders, particularly in North America. As a result, lighting revenue growth in the quarter was just 5.0%. This compares to 24% growth in the first half.
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By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
31 May 2016 08:26
