Mothercare Share News (MTC)

LONDON (Alliance News) - Stocks in London are set for a higher open on Friday with risk sentiment steadying as the week nears its close.The pound, meanwhile, traded close to its lows for the year amid speculation UK Prime Minister Theresa May on Friday will set a date for her departure from Downing Street.In early company news, Stagecoach said it is taking legal action against the UK Department for Transport, Informa said it performed well at the start of the year, and Lancashire Holdings's chief financial officer intends to step down next year.IG says futures indicate the FTSE 100 index of large-caps to open 18.06 points higher at 7,249.10 on Friday. The FTSE 100 index closed down 103.15 points, or 1.4%, at 7,231.04 on Thursday."Risk aversion has steadied, at least for now, on President Trump's remarks that Huawei could even form part of a US - Sino trade deal," said Jasper Lawler at London Capital Group."The fact that Trump is still talking about a trade agreement is offering some optimism to the markets. Traders have been focused on the damage to the global economy that a prolonged trade war could cause, so a break from the bad news is cautiously lifting sentiment," Lawler explained. On Thursday, the US federal government announced a USD16 billion aid package for farmers whose businesses have been badly affected by the ongoing trade war with China.In early UK company news, business events and publishing firm Informa said it has performed well in the first four months of the year. Informa Markets remains strong, the company said, with trading good in North America and China, offset by ongoing softness in the Middle East. Informa Connect is well-placed to deliver at least 2.5% underlying growth in 2019, while Informa Tech has been "encouraging". Stagecoach said it has launched legal action against the UK Department for Transport in relation to the tender for the West Coast Partnership rail franchise.The legal action follows a decision by the DfT in April to disqualify Stagecoach and its partners from the East Midlands, West Coast Partnership and South Eastern franchise competitions."The claims vary in certain respects but common to both is our refusal to accept the pension risks that the DfT requires operators to bear in relation to the new franchises," said Stagecoach.The claim has been brought by the West Coast Trains Partnership, in which Stagecoach has a 50% stake, with French firm SNCF holding 30% and Virgin 20%.Stagecoach Chief Executive Martin Griffiths said: "It is disappointing that we have had to resort to court action to find out the truth around the DfT's decision-making process in each of these competitions."Insurer Lancashire Holdings said Chief Financial Officer Elaine Whelan plans to leave the company in 2020. She will continue in her role throughout 2019 and will step down at the end of February 2020, though will remain available to assist with the transition for several months after. Lancashire said it will be conducting a search for her replacement. Measuring instruments and controls company Spectris reported growth in year-to-date sales despite a slowing in some end markets.Like-for-like sales in the first four months of 2019 were up 3%, despite an anticipated moderation in certain end markets. On a reported basis, sales were up 6% in the period. By division, the company said there was strong like-for-like growth from In-Line Instrumentation and in Materials Analysis, despite continued challenges at Concept Life Sciences. Comparable sales declined in Test & Measurement and Industrial Controls, the latter hit by US-China tariffs and slowing US industrial production. Overall, Spectris said trading has been in line with annual expectations. "While we note some challenges due to macro-economic and geopolitical uncertainties, we continue to focus on driving sales growth and focusing on what we can control - delivering our plan to enhance margins," the FTSE 250 constituent said.Heat treatment firm Bodycote reported a slight rise in year-to-date revenue, with its annual expectations unchanged. Revenue for the first four months was GBP245 million, up 1% on the year before and flat at constant currency. Within this, aerospace and defence revenue grew 15% while automotive sales fell 4%. "The full-year outlook for civil aerospace remains strong, and revenue growth for Specialist Technologies' is also expected to be good. With easing comparatives in automotive in the second half of the year, and provided current macroeconomic conditions do not deteriorate, year-on-year growth should strengthen," said Bodycote.Old Mutual has suspended Chief Executive Peter Moyo with immediate effect after a "material breakdown in trust and confidence".Anglo-South African Old Mutual did not give any further details, but said Chief Operating Officer Iain Williamson will become acting CEO.AIM-listed tonic water maker Fevertree Drinks said the beginning of 2019 has seen encouraging operational progress across its international regions."Whilst we are mindful of last year's exceptional summer trading performance in the UK, we remain confident in achieving board expectations for the full year," Chair Bill Ronald added.Retailer Mothercare reported a narrowed annual loss despite sales slipping. Revenue for the 53 weeks to March 30 was GBP513.8 million, down from GBP580.6 million in the 52 weeks to March 24, 2018. However, the company's pretax loss narrowed to GBP66.6 million from GBP94.0 million. This was due to administrative costs falling to GBP76.9 million from GBP101.7 million. Including discontinued operations, Mothercare's loss swelled to GBP87.3 million from GBP72.8 million.UK like-for-like sales fell 8.9%, versus a 0.6% rise the year before. International like-for-like sales slipped 4.7% versus a 5.9% decline last year. The parenting products retailer said its current financial year should see the "final steps" towards the business completing its transformation, with Mothercare on track to meet consensus expectations. "We have achieved a huge amount this year, refinancing, restructuring and reorganising Mothercare to ensure a sustainable future for the business. The majority of that work is now done, including the completion of our store closure programme, leaving us with 79 stores which are well positioned to support our UK customer base," said Chief Executive Mark Newton-Jones.UK Prime Minister Theresa May is expected to set out when she will quit Number 10 after a Cabinet revolt over her Brexit plan.May will meet the leader of backbench Conservatives, Graham Brady, on Friday to discuss her future after her authority was left in tatters following the backlash against her "new Brexit deal".The prime minister's private meeting with Brady, chairman of the powerful 1922 Committee of Tory backbenchers, could be the moment that May sets the date for her exit from Downing Street.A 1922 Committee source told the Press Association they expected June 10 to be the day May chooses.The new withdrawal agreement bill had been due to be published on Friday but that has been delayed in a sign of the chaos at the top of the government.Sterling was quoted at USD1.2683 early Friday, steady compared to USD1.2662 at the London equities close on Thursday.In a likely further blow to May, UK politicians are waiting for the results of European elections which could deliver a damaging blow to her Tory party.Results of the European contests will not start being announced until Sunday night but opinion polls have suggested Nigel Farage's Brexit Party is on course for victory in the elections, which are only taking place because of the delay to Brexit.Both May and Labour's Jeremy Corbyn are braced for a backlash from voters, with Farage's party and - from the opposite side of the Brexit divide - the Liberal Democrats expected to pick up votes.Prominent Conservative MEP Daniel Hannan has said he fears the party is facing "total wipeout" in the European elections and will be left without any representation at all.In the US on Thursday, Wall Street ended in negative territory, with the Dow Jones Industrial Average ending down 1.1%, the S&P 500 down 1.2%, and the Nasdaq Composite shedding 1.6%.In Asia on Friday, 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 up 0.3%.Consumer prices in Japan climbed 0.9% year-on-year in April due to rising energy costs, official figures showed. The figure represented the 28th straight month of increase, said the Ministry of Internal Affairs and Communications. But the inflation rate remained far off a 2% inflation goal set by the Bank of Japan in 2013.The economic events calendar on Friday has UK retail sales numbers at 0930 BST and US durable goods orders at 1330 BST.