Funding Circle Share News (FCH)

LONDON (Alliance News) - Stocks in London are seen opening lower on Thursday with the prospect of fresh US-China trade tensions once again weighing on investor attitudes.In early company news on Thursday, Associated British Foods said Primark's profit grew despite a decline in like-for-like sales, GVC Holdings expects to deliver annual earnings ahead of market forecasts, and Whitbread expects flat profit in 2020.IG says futures indicate the FTSE 100 index of large-caps to open 38.08 points lower at 6,824.60 on Thursday. The FTSE 100 index closed down 32.34 points, or 0.5%, at 6,862.68 on Wednesday."Asia initially moved higher, taking the lead from the solid upbeat earnings-inspired close on Wall Street, although gains soon faded. European and US futures are pointing to a negative start on reports that US Federal Prosecutors are investigating Huawei Technology for allegedly stealing trade secrets," said Jasper Lawler, head of research at London Capital Group.The Wall Street Journal reported that US authorities are in "advanced" stages of a criminal probe into telecom giant Huawei. The investigation, which concerns the theft of technology behind a robotic device that T-Mobile US used to test smartphones, is reportedly at an advanced stage and could lead to an indictment soon.Glenn Schloss, vice president of corporate communications at Huawei, declined to comment on the new allegations but told dpa that Huawei and T-Mobile had already settled their dispute over the robot in 2017. Commenting further, London Capital Group's Lawler said: "The move comes as US-Sino relations were improving amid a 90-day truce. It goes right to the heart of the unresolved IP issues with China. China are unlikely to shrug this off, which is creating a risk-off environment. Signs of retaliation from China could see stocks sink further."In the US on Wednesday, Wall Street ended higher, with the Dow Jones Industrial Average finishing up 0.6%, the S&P 500 up 0.2%, and the Nasdaq Composite up 0.2%.In Asia on Thursday, the Japanese Nikkei 225 index closed down 0.2%. In China, the Shanghai Composite is down 0.1%, while the Hang Seng index in Hong Kong is likewise 0.1% lower.In UK company news, AB Foods said its outlook for the current financial year remains unchanged after Primark delivered good sales growth and an improved margin. Revenue for the 16 weeks to January 5 was up 2% on last year at constant currency, while at actual exchange rates sales were up 1%. Other than an expected reduction in Sugar revenue, sales growth was delivered by all businesses, AB Foods highlighted.Sales at Primark were 4% ahead of last year, at both constant currency and actual exchange rates, and with a higher operating profit margin, profit was "well ahead". The sales growth was delivered by increased retail selling space, with like-for-like sales posting a "modest decline".UK Primark sales were up 1% on last year, with like-for-like sales in September and October ahead but reduced footfall denting performance in November. Sales over Christmas were ahead of expectations, the company added.Hotelier Whitbread said it expects to deliver annual results in line with expectations but remains cautious on the UK next year given "uncertainty and higher inflation".The hospitality firm said UK like-for-like sales were down 0.6% year-on-year in the third quarter, and down 0.7% in the year-to-date. UK total sales growth was 2.5% in the third quarter and 2.7% in the year-to-date, while UK & International sales were up 2.4% in the quarter and 2.5% year-to-date.Whitbread, which owns the Premier Inn hotel chain and recently sold its Costa Coffee coffee shop chain to The Coca-Cola Co, said it expects underlying pretax profit in the 2020 financial year to be in line with that achieved in the current financial year.The reflects the assumption of weaker UK market revenue per available room, investment in the UK and Germany, and some "short-term operational dis-synergies" following the sale of Costa.Gambling firm GVC Holdings said it expects 2018 earnings to be ahead of market consensus after finishing the year on a strong note. In the fourth quarter, online net gaming revenue grew 15% while UK retail like-for-like sales were down 3%. Total sales for the quarter grew 5%. For 2018 as a whole, total net gaming revenue was up 9%, with online up 19%. "The group's performance in 2018 has been excellent with the strong momentum reported at Q3 continuing into Q4. We are materially outperforming the market and taking share in all of our major territories," commented Chief Executive Kenneth Alexander.GVC said it expects proforma underlying earnings before interest, taxes, depreciation and amortisation for 2018 ahead of expectations at between GBP750 million to GBP755 million. Accounting software firm Sage said it has been "encouraged" by its start to the financial year.Organic revenue grew 7.6% in the first quarter, ended December 31. Recurring revenue was up 11%, underpinned by software subscription growth of 28%."We have been encouraged by the strong start to FY19, reflecting the renewed focus on high-quality subscription and recurring revenue as we continue the journey to becoming a great SaaS business. Looking ahead we reiterate our full-year guidance for FY19 as outlined at the FY18 results announcement," said Chief Executive Steve Hare.Credit checking firm Experian said it delivered a strong third quarter as organic revenue rose. Total revenue growth for the third quarter ended December 31 was 5% at actual exchange rates, up 9% on an organic basis. Growth was driven by North America, with total revenue up 12% at actual rates and 12% organically. "Our performance reflects the success of our strategy to deliver innovative products at scale across our geographies and to build direct relationships with consumers, and our full-year guidance is unchanged," said Chief Executive Brian Cassin.Peer-to-peer lender Funding Circle Holdings said it expects to exceed the annual revenue growth guidance set out in its initial public offering. The small and medium enterprise loans platform said it expects full-year revenue growth of 55%, exceeding the 50% guidance given at the time of its London Stock Exchange float in October last year. Loans under Management, excluding property, of around GBP3.1 billion as at December 31 was up 55% compared to the same period last year and also exceeded IPO guidance.Travel concessions operator SSP Group said it had a good start to the financial year.Revenue for the first quarter to December 31 grew 7.6% at constant currency, with like-for-like sales up 2.5% despite disruption from protests in France. Total group revenue growth at actual exchange rates was 7.7%.The FTSE 250-listed firm continues to expect like-for-like sales growth of between 2% and 3% for the full year. Meanwhile, the pound was quoted at USD1.2854 early Thursday, marginally soft compared to USD1.2867 at the London equities close on Wednesday.UK Prime Minister Theresa May has survived an attempt to oust her as US prime minister, as members of Parliament rejected opposition Labour Party leader Jeremy Corbyn's motion of no confidence in the government by a margin of 325 to 306.The prime minister's 19-vote victory came less than 24 hours after the crushing defeat of her EU Withdrawal Agreement in the House of Commons, and clears the way for her to start cross-party talks on a Brexit Plan B.After seeing down the vote, the prime minister announced she would invite party leaders in the Commons and other MPs in for discussions to get a Parliamentary consensus.But she appears to face an uphill struggle after all the opposition party leaders demanded scrapping the possibility of no-deal as a condition of progress, while Labour refused to even sit down with the PM until the concession was guaranteed."The general feeling in the markets remains that somehow MPs will be able to come together to be able to head off the prospect of the current default position of a no-deal Brexit; however that theory is still likely to be severely tested in the coming days and weeks," said CMC Markets chief market analyst Michael Hewson.The economic events calendar on Thursday has eurozone inflation readings at 1000 GMT and US initial and continuing jobless claims at 1330 GMT.