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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Whitbread, up 3.2%. The Premier Inn and Costa Coffee parent company reported growth in sales in the first quarter of its financial year and said it is confident of making good progress in the full year. The leisure group said total sales in the 13 weeks ended June 2 grew by 8.0% on the same period the year before, as like-for-like sales rose by 1.8%. At Premier Inn, total sales were also up 8.0% and like-for-likes were up 2.1%, while Costa saw total sales growth of 12% as like-for-likes increased by 2.6%.
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FTSE 100 - LOSERS
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Anglo American, down 2.5%, Antofagasta, down 2.0%, Rio Tinto, down 1.8%, BHP Billiton, down 1.7%, Fresnillo, down 1.6%, Randgold Resources, down 1.6%. The mining stocks were lower on the strength of the dollar as a stronger dollar makes metal prices more expensive. Mike van Dulken, head of research at Accendo Markets, said the miners were lower "as GBP/USD continues to rally with bookies suggesting a UK referendum Remain vote looking more and more likely come Friday morning. So miners are missing out not just on their usual currency benefit but also from a perception of reduced event-risk on economic growth and thus demand for materials?"
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FTSE 250 - WINNERS
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Circassia Pharmaceuticals, up 11%. Shares in the speciality biopharmaceutical company were rebounding after a big fall on Monday. Circassia shares fell 66% on Monday after it said a late-stage study of its key cat allergy treatment failed to achieve its primary endpoint, as the treatment and a placebo used in the study proved equally effective.
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FTSE 250 - LOSERS
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Senior, down 13%. The components and systems manufacturer said its Aerospace arm is trading in line with expectations, but its Flexonics business is continuing to face tough market conditions. Senior said the Aerospace business has seen activity increase in line with its forecasts, boosted by additional work on new aircraft. Margins for the unit, however, will be lower in the first half of 2016 as the ramp-up on new aircraft production programmes continues. For Flexonics, trading has continued to be weighed down by weak conditions in the truck and off-highway sector and ongoing softness in the oil and gas market. First half margins for Flexonics will be weaker than anticipated, Senior said, due to a reduction in volumes and a change in the revenue mix compared to 2015.
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MAIN MARKET AND AIM - WINNERS
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Nostra Terra Oil & Gas Co, up 16% and Independent Resources, up 11%. The oil and gas companies said their joint venture, Independent Resources Egypt, has received security clearance in Egypt. Egyptian authorities have given security clearance to the company, which is a 50:50 joint venture between Independent Resources and Nostra Terra, and the unit has been formally registered with the Egyptian General Petroleum Corp. The venture was formed to pursue the East Ghazalat project in Egypt. The pair said paperwork has been put in place for the next step, which will involve commercial registration of the business and receipt of an Egyptian tax card.
Futura Medical, up 13%. The pharmaceutical company said that is has "clear potential for value generation this year and beyond" as it continues to progress its pipeline of products. In a statement ahead of the company's annual general meeting Futura said it continues to prepare for the launch of its new condom product CSD500 by its distribution partners. It has inked a new manufacturing agreement in India with TTK Group for the product, to be launched under TTK's SKORE brand, and with Milsing DOO for the distribution of CSD500 in seven countries in Southeast Europe.
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MAIN MARKET AND AIM - LOSERS
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Chemring Group, down 19%. The defence group said its pretax loss widened in the first half due to contract delays and a weaker sales mix despite higher revenue, prompting it to pull its dividend for the period. The company said its pretax loss for the half to the end of April was GBP16.8 million, compared to a GBP15.1 million loss a year earlier. Revenue for the half grew to GBP180.1 million from GBP161.7 million, up 11%, thanks to growth in all the group's operating segments. However, a lower-margin sales mix, phasing of revenue to the second half, and issues involved in the sale of ammunition to a customer in the Middle East, which was held up, hurt profitability. Chemring also scrapped its interim dividend payout, having paid 2.4 pence per share a year earlier.
Photo-Me International, down 18%. The photo booth operator said it anticipates "another good year of growth" as it reported a rise in pretax profit for its most recently ended financial year, and hiked its payout to shareholders with an improved total dividend and special dividend. The company proposed a final dividend of 3.285 pence, taking its total dividend for the year to 5.86p. On top of this, Photo-Me will also pay a special dividend of 2.815p. FinnCap said that, as expected, Photo-Me International's full year results showed it has returned to revenue growth, however, the special dividend declared by the company was lower than expected.
London Capital Group Holdings, down 17% at 5.10 pence. The online trading services provider outlined plans to issue shares to GLIO Holdings, a company controlled by Executive Chairman Charles-Henri Sabet. London Capital said it has sought to identify potential new investors in the business but, after a tough couple of years when its financial performance has failed to meet expectations, was unable to secure a new investor. The directors of London Capital said they believe this to be the "only realistic route" for the company to increase its regulatory capital and strengthen its overall capital position. The majority of the shares will be issued to GLIO at 5.00 pence per share, a discount to London Capital's closing price on Monday.
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By Arvind Bhunjun; arvindbhunjun@alliancenews.com; @ArvindBhunjun
Copyright 2016 Alliance News Limited. All Rights Reserved.
17 Nov 2016 15:58
