Greencore Share News (GNC)

LONDON (Alliance News) - Stock prices in London are seen opening higher on Tuesday, after the US temporarily eased some restrictions imposed on Chinese technology firm Huawei.In company news, Severn Trent set the bar high for fellow UK water companies reporting this week, hiking its annual dividend amid profit growth. Sandwich maker Greencore Group reported a rise interim profit as it moves on from the sale of its US business, and WH Smith announced the departure of its chief executive. IG futures indicate the FTSE 100 index is to open up 17.72 points at 7,328.60. The blue chip index closed down 37.74 points, or 0.5%, at 7,310.88 on Monday.Severn Trent boosted its dividend after profit and revenue grew amid an improving operational performance.For the financial year that ended in March, pretax profit widened 6.8% to GBP563.3 million from GBP527.2 million the year prior. This was after revenue rose 6.0% to GBP1.77 billion from GBP1.67 billion. Severn Trent proposed a 56.02 pence per share final dividend, up 7.9% from 51.92p the year prior. For the full year, the dividend rose 7.9% to 93.37p from 86.55p the year before. The water company said that it saw "operational improvements" in the second half of financial 2019 which "gives confidence" for the new financial year and beyond. Severn Trent explained it expected to earn GBP25 million in financial 2020 from outperformance payments.Greencore Group said it is on track to achieve its financial 2019 strategic and financial objectives.For the half year ended March 29, pretax profit was up 58% to GBP5.7 million from GBP3.6 million last year and revenue fell to GBP701.4 million from GBP734.9 million the year prior. The company attributed the fall in revenue to its exit from Cakes and Desserts operations. Looking ahead, the company said expects to deliver strong growth and cash generation to facilitate returns for shareholders. The company dividend lifted its interim dividend by 11% to 2.45 pence from 2.20p. "Greencore performed well in the first half and remains on track to deliver its strategic and financial objectives in the seasonally more significant second half of the financial year. The group anticipates that underlying revenue growth in its key convenience food categories will underpin growth in adjusted operating profit in the full year, notwithstanding trading conditions that are anticipated to remain challenging. This profit growth will also be underpinned by improved operational performance and by progress in the streamlining of central overheads," the company said. WH Smith reported a good performance in its third quarter, and its chief executive will be stepping down.For the quarter ended May 18, total sales were up 15% and like-for-like sales up 1% compared to the same period last year.In the retailer's Travel business, total sales were up 26% and like-for-like sales were up 3%, but in its High Street business, total sales were down 1% and like-for-like sales were also down 1%.Chief Executive Stephen Clarke commented: "We have delivered a strong sales performance in the third quarter in both our Travel and High Street businesses. Whilst there is some uncertainty in the broader economic and political environment, we are well placed as we approach the key summer trading period in Travel. We continue to focus on profitable growth, cash generation and investing in the business to position us well for the future. We remain confident in the outcome for the full year."WH Smith said Clarke will be step down as CEO in October after six years at the helm. He is to be replaced by Carl Cowling, managing director of the WH Smith High Street business.Pork producer Cranswick reported a drop in annual earnings against a backdrop of "highly competitive market conditions" and ongoing Brexit related, political and economic uncertainty.For the financial year ended March 31, pretax profit was down 1.7% to GBP86.5 million from GBP88 million last year, and revenue slipped to GBP1.44 billion from GBP1.46 billion the year before.Cranswick raised its total dividend 4.1% to 55.9p from 53.7p last year. "Over the longer term, success has been achieved despite occasional periods of more intense commercial challenges. The new financial year is expected to be such a period as outlined in the announcement released in February 2019. This highlighted that the group's operating margin is likely to decline, reflecting the potentially challenging commercial landscape, together with start-up and commissioning costs associated with the new Eye Facility, only partly offset by management actions. Trading since then has been as anticipated and the board's expectations for the group's performance in the new financial year remain unchanged," the company said. Grocer Tesco said its Tesco Personal Finance unit has stopped new mortgage lending and will explore the sale of its existing mortgage portfolio. Tesco Bank said challenging market conditions in the UK have limited profitable growth opportunities."We have made the strategic decision to focus on serving a broader range of customers in more specific areas, which means moving away from our mortgage offer. We have therefore chosen to cease lending to new customers and announce our intention to explore a sale of our portfolio. Our priority in any sale, is to complete a commercially acceptable transaction with a purchaser who will continue to serve our customers well," Gerry Mallon, CEO of Tesco Bank said.Huawei and Google are discussing solutions to restrictions placed by the US government on companies that do business with the Chinese telecom giant, Huawei founder Ren Zhengfei told domestic media on Tuesday."Google is a good company, a highly responsible company," Ren said in an interview published by various Chinese media outlets.He said Google, part of Alphabet, and Huawei are discussing relief measures to a US Department of Commerce order last week that US companies obtain a license if shipping products to Huawei.The department late Monday announced a grace period of 90 days on the policy.London Capital Group's Jasper Lawler commented: "In an attempt to control the damage done to US stocks, President Donald Trump overnight announced that the US Commerce Department will allow Huawei to purchase American made goods for the next three months. This is an attempt to maintain existing networks and to keep updates to existing Huawei handsets. The grace period will allow US firms the space to determine longer-term measures that currently rely on Huawei equipment for critical services."The Japanese Nikkei 225 index closed down 0.3%. In China, the Shanghai Composite is up 1.3%, while the Hang Seng index in Hong Kong is down 0.1%.The pound quoted at USD1.2719 early Tuesday, lower than USD1.2731 at the London equities close Monday.UK Chancellor of the Exchequer Philip Hammond will make an explosive intervention in the looming Tory leadership race with a fierce attack on advocates of a no-deal Brexit.In remarks set to raise Tory tensions on EU withdrawal, the chancellor will claim supporters of leaving the bloc without an exit agreement are trying to "hijack" the result of the referendum.Hammond will use a speech to the CBI's annual dinner in London on Tuesday to warn against "right-wing populism".He will say that if the Brexit issue is not resolved in the next few weeks there is a "real risk" of a new prime minister moving towards a "damaging" no-deal exit policy for "ideological" reasons.The economic events calendar has eurozone consumer confidence at 1500 BST.