London midday: Bears bite Man

Stock market bears were out in force again this morning in London after thee overnight shake-out on Wall Street. Shares in hedge fund manager Man Group would be expected to plunge on a day when optimism about the economic recovery of the US is in short supply but the stock is also weighed down by the group's disappointing results. "The past financial year saw extraordinary turmoil in financial markets globally which put extreme stress on business models across the financial services industry. Man has not been immune," said chief executive Peter Clarke. Pre-tax profit slumped to $743m from $2,079m last year on revenue that slid to $2,433m from $3,222m before.Similar problems, but on a smaller scale, are being experienced by stockbroker and fund manager Brewin Dolphin, though it maintained its interim dividend despite profit before tax falling by more than fifth. Elsewhere in the financial sector Schroders, Prudential and Aviva all react badly to the downturn in global stock markets.Outside the FTSE 100, over-stretched plumbing supplies distributor Wolseley's trading profit more than halved in the first nine months of its financial year. The group said revenue in the nine months to the end of April 2009 was up 0.2% to £12.1bn, but was down 15% in constant currency terms. Trading profit fell 58%, or 65% at constant exchange rates, to £189m. Sector peer Travis Perkins takes collateral damage from the Wolseley announcement, as do housebuilders such as Taylor Wimpey, Bellway, Persimmon and Barratt Developments.Water group United Utilities said it posted a robust set of results despite the difficult economic conditions as profits rose 11% in the year. Profit before tax for the 12-months rose to £529.8m from £478.3m last year as revenue increased 3% to £2,435m. But the group slashed total dividends to 32.67p per share from 46.67p previously.Sugar and sweetener firm Tate & Lyle posted a sharp fall in profits after facing impairment charges and tough trading conditions. Profit before tax in the year to 31 March fell to £113m from £182m the previous year even as revenues climbed to £3.55bn from £2.87bn. The fall in profits was mainly due to an impairment charge of £97m decision to mothball a sucralose facility in Alabama and produce all sucralose from a newer facility in Singapore.Hochschild Mining has taken full control of the Moris mine in northern Mexico, buying the 30% stake owned by its joint venture partner. The Latin America-focused miner has paid $1.5m in cash to buy the 30% stake from EXMIN Resources. Higher sales in spite of the economic downturn helped the cash and carry group Booker post a sharp rise in pre-tax profits. Pre-tax profits in the year to 27 March climbed to £47.2m from £36.2m the previous year as total sales climbed to £3.2bn from £3.1bn. Speedy Hire said it plans to raise net proceeds of around £100m in a 9-1 fully underwritten right issue.Payment services group PayPoint saw profits rise 19% in the year and said trading in the current year so far is in line with expectations. The group expects further growth in the UK by increasing market share in bill and general payments, mobile top-ups, and ATMs.Ale brewer and London-focused pub chain owner Young & Co. saw property write-downs wipe £10.7m from its profits. Underlying pre-tax profit rose 3.1% to £19.2m while its gearing, at 39.7%, remains 'spectacularly lower than the pubco peer group,' according to KBC Peel Hunt, which rates the shares a 'biy' and has a price target of 560p for the 'A' (voting) shares.A slump in the value of the portfolio of HSBC Infrastructure saw the net asset value (NAV) per share of the infrastructure investment company slide by 8.1% in the year to end-March. The company remains relatively upbeat, however, and even hinted at an equity issue to take advantage of opportunities to acquire PFI/PPP/P3 projects.Neuropharm Group, the pharmaceutical company focused on neuro-developmental disorders, has not given up on NPL-2008, its formulation of fluoxetine which had a negative trial result in February. The share price of the company almost moved off the chart after it said that 'following considerable interest in NPL-2008 from a number of parties,' it is in discussions with a pharmaceutical company for a potential collaboration which would encompass the further development and commercialisation of NPL-2008.FTSE 100 - RisersCairn Energy (CNE) 2,427.00p +2.28%Intertek Group (ITRK) 1,061.00p +1.43%Invensys (ISYS) 237.75p +1.28%Randgold Resources (RRS) 4,293.00p +0.85%FTSE 100 - FallersMan Group (EMG) 232.25p -7.10%British Land Co (BLND) 390.25p -3.46%Schroders (SDR) 842.00p -3.33%Thomas Cook Group (TCG) 226.50p -3.10%