INTU.L Share News (INTU)

LONDON (Alliance News) - Stocks prices are set for a slightly higher start in London on Wednesday following subdued activity in New York overnight, as investors await minutes from the US Federal Reserve's most recent policy-setting meeting.In early company news, Lloyds Banking posted a rise in annual profit as it took more PPI provisions, the UK competition regulator said it believes it will be hard to J Sainsbury and Asda to resolve concerns over their merger. Glencore proposed a new round of share buybacks, while Intu Properties skipped its final dividend in order to lower its debt-to-assets ratio.IG says futures indicate the FTSE 100 index of large-caps to open 9.13 points lower at 7188.30 on Wednesday. The FTSE 100 index closed down 40.30 points, or 0.6%, at 7,179.17 on Tuesday."Wall Street remained neutral on Tuesday despite blowout earnings from Walmart. Investors were trading cautiously, leaving the Dow struggling for direction ahead of important indicators later in the week and today's Fed minutes," said Jasper Lawler, head of research at London Capital Group.In the US on Tuesday, Wall Street ended slightly higher, with the Dow Jones Industrial Average ending flat, the S&P 500 up 0.2% and Nasdaq Composite also gaining 0.2%.Lawler commented: "Asian markets had more of a spring in their step, advancing to 4.5 month highs overnight before paring some gains. Trade talk optimism following a reiteration from Trump that trade talks are going very well boosted sentiment. However, traders are unable to shake off the nearing trade truce deadline and the lingering threat of higher trade tariffs."In Asia on Wednesday, the Japanese Nikkei 225 index closed up 0.6%. In China, the Shanghai Composite is flat, while the Hang Seng index in Hong Kong is up 1.0%.Japan's exports to China plunged 17% year-on-year in January, contributing to a trade deficit of JPY1.4 trillion, about USD12.8 billion, a government report showed Wednesday.Overall exports fell 8.4% from a year earlier to JPY5.6 trillion for the second straight month of decline amid slow growth in China, Japan's biggest trade partner, while imports edged down 0.6% to JPY7 trillion yen, the Finance Ministry said in a preliminary report.In UK company news, Lloyds Banking proposed a share buyback as it posted a rise in annual profit, though it took further payment protection insurance claim provisions.Net income rose 2% to GBP17.8 billion, with a net interest margin of 2.93% versus 2.86% the year before. Pretax profit rose 13% to GBP5.96 billion from GBP5.28 billion last year.Lloyds declared a dividend of 3.21 pence per share and proposed a share buyback of up to GBP1.75 billion, representing a capital return of GBP4.0 billion, up 26% on last year. The bank increased its provision for PPI costs by a further GBP750 million in 2018, of which GBP200 million was in the fourth quarter, bringing the total amount provided to GBP19.43 billion.Looking ahead, Lloyds said its net interest margin is expected to be around 2.90% in 2019 and "remain resilient through the plan period".J Sainsbury said it "fundamentally disagrees" with the UK Competition & Markets Authority's provisional finding that there are "extensive" competition concerns surrounding the tie-up of the London-listed grocer and Walmart's Asda. The CMA said it has found the deal could lead to higher prices, a poorer shopping experience, and reductions in the range and quality of products offered. It also believes the deal could lead to a rise in fuel costs at more than 100 locations where Sainsbury's and Asda petrol stations overlap.The CMA has potential options for addressing its concerns, including blocking the deal or requiring the merging companies to sell off a "significant" number of stores."The CMA's current view is that it is likely to be difficult for the companies to address the concerns it has identified," the competition regulator said.Sainsburys, in response, said it "fundamentally" disagrees with the findings and said they "misunderstand how people shop in the UK today and the intensity of competition in the grocery market"."The CMA has moved the goalposts and its analysis is inconsistent with comparable cases," Sainsbury's said.The grocer added: "Combining Sainsbury's and Asda would create significant cost savings which would allow us to lower prices. Despite the savings being independently reviewed by two separate industry specialists, the CMA has chosen to discount them as benefits."Swiss miner and commodity broker Glencore fell short of earnings consensus, though it is to return a further USD2 billion to shareholders in a buyback.Glencore's adjusted earnings before interest, tax, depreciation, and amortisation came in at USD15.77 billion for 2018, up 8.4% from USD14.55 billion a year prior. Consensus had been for USD16.14 billion.Adjusted earnings before interest and tax were USD9.14 billion, short of consensus of USD9.89 billion. In 2017, Glencore's recorded adjusted Ebit of USD8.55 billion.Glencore completed USD2 billion in share buybacks over 2018, and it is now to repeat this in 2019. The company will pay a 20 US cent per share dividend for 2019, flat on 2018.Glencore's net debt at the end of 2018 was USD14.71 billion, increasing 44% from a year before. Consensus had seen the figure at USD13.52 billion. Shopping centre owner Intu Properties said net asset value slumped in a "challenging year".Like-for-like net rental income grew 0.6% in 2018, faster than the 0.5% posted in 2017. Net asset value per share, however, tumbled to 312p at the end of 2018 from 411p at the same time a year ago.In order to lower Intu's debt-to-assets ratio back below 50%, the company intends to retain cash generated from its activities rather than distributing it has a dividend. This will start with no final dividend for 2018, versus a 9.4p payout a year ago. This brings the total dividends paid in respect of 2018 to 4.6p, a reduction of the 14.0p paid out for 2017.Indivior said it has launched a generic version of Suboxone Sublingual Film in the US due to the expected hit from the anticipated "at risk" launch of a generic buprenorphine and naloxone sublingual film product by Dr Reddy's Laboratories or Alvogen Pine Brook."With the launch of this authorized generic by Indivior, it is possible that other companies may also launch their own generic versions of Suboxone," the company noted.Struggling airline Flybe confirmed it received a "preliminary and highly conditional outline contingency proposal" from an investor group led by Bateleur Capital and Mesa Air Group, with indicative support from Andrew Tinkler and other unnamed shareholders. However, it doesn't expect the offer to succeed.The proposal is for a capital injection and replacement of funding provided by Connect Airways.The plan is conditional on the completion of the sale of Flybe's operating businesses to Connect Airways, and is also dependent on agreements being reached with Flybe's lenders and credit card acquirers. "The board does not believe that the indicative proposal is executable in the timeframe required to enable Flybe to continue to trade. Accordingly, the board emphasises to shareholders that it continues to regard the arrangements entered into with Connect Airways as being the only viable option available to the company," Flybe said.UK Prime Minister Theresa May is returning to Brussels to seek legal assurances on the Brexit backstop, amid signs she has persuaded key Tory eurosceptics to consider backing her Withdrawal Agreement.Chancellor Philip Hammond indicated on Tuesday night that the government has accepted the EU will not agree to replace the backstop arrangements for the Irish border with technological alternatives in time for the scheduled date of Brexit on March 29.But he said he hopes the technological solution contained in the so-called Malthouse Compromise will form part of negotiations over the following 21 months on the UK's future relationship with the EU.The pound was quoted at USD1.3048 at midday, firm compared to USD1.3036 late Tuesday and having risen from USD1.2933 at the close on Monday.In the economic calendar on Wednesday, the CBI industrial trends survey for the UK is at 1100 GMT. In the US, the Redbook index is at 1355 GMT. Later, minutes from the Federal Open Market Committee are released at 1900 GMT.