LEDs designer Dialight (DIA) is feeling the squeeze again with its obstruction lighting arm still under the cosh. New business for lights put on tall buildings, mobile masts and wind turbines, for example, have failed to materialise as hoped. This will hit full-year expectations. Dialight continues to see rapid 50%-plus growth on the industrial installation side, but investors mark the shares 14% down to £11.50, about where they were when Shares explained these issues in June.
Oil services firm Kentz (KENZ) slips 10.4% to 492.5p as peer AMEC (AMEC) – itself up 2.5% to £10.84 as investors like talk of cash returns – withdraws its £700 million offer. We suggested holding on might be risky last month.
Bradford-based supermarkets operator Morrisons (MRW) rises 4.3% to 310.05p as investors welcome a strategy change. Half-year results show a disappointing 10% underlying profits drop to £401 million and negative like-for-like sales. However the grocer's plans to reduce capital expenditure and return surplus cash to shareholders as it pares back large store openings and focuses on convenience and online, are well-received by the market.
Loss-making online grocer Ocado (OCDO), which struck a 25-year licensing deal with Morrisons in May, advances 6.35p to 377.45p. Its third quarter trading update shows sales up 16.4% to £189.2 million, driven by growth in both orders and basket size.
Fashion retailer Next (NXT) nudges 5p higher to £51.95p on solid first-half figures showing sales up 2.2% to £1.68 billion and profits 13.8% ahead at £217 million, driven by new space and growing sales through online business Next Directory.
Argos and Homebase owner Home Retail (HOME) hops 3.5% higher to 169.6p on a healthy second quarter update reflecting a seasonal boost from the hot weather. Over the 13 weeks to end-August, Argos' like-for-like sales grew 2.7% boosted by continued growth in electricals, while same-store sales at Homebase shot up 11% with a seasonal boost.
Indonesian palm oil-to-Australian beef cattle producer M.P. Evans (MPE:AIM) sheds 14.5p to 493p on poor half-year figures to June. Lower palm oil and cattle prices are behind a 33% profits reverse to US$10.3 million, although the dividend is held at 2.25p.
Hadoop big data software specialist WANdisco (WAND:AIM) is off 3% to £11.40 after house broker Panmure Gordon cut its recommendation from 'buy' to 'hold'. The change by respected tech analyst George O'Connor comes after the £252 million cap soared through his £11.49 target price yesterday. Yet the shares remain 20% up since Shares last suggesting buying at 947.5p, and a staggering 366% ahead of when we told readers to buy alongside our interview with chief executive David Richards a year ago (see page 40 of PDF). With interims figures due to be unveiled (26 September), the shares remain ones to watch.
A new $2.3 million year-one contract for IDOX's (IDOX:AIM) engineering information management arm fails to spark the shares, flat at 35.25p. Yet Shares believes this is welcome news and illustrates that the recent new business win blip has passed, as we explained barely a week ago.
There's going to be another new entrant to Aim in the tech space as digital x-rays technology developer Kromek unveils plans to raise £15 million of new cash to fund a commercial push and expansion. But the announcement strangely leaves out past financial performance, so investors remain in the dark for now. The news sparks a 37% spike, to 3.25p, in Amphion Innovations (AMP:AIM), the microcap finance house that has part funded Kromek's progress to date.
Oil-to-water technology play Mycelx (MYX:AIM) falls 12.7% to 480p despite a swing from a pre-tax loss of $1.5 million to a profit of $330,000. Forecasts were trimmed as the firm warned of end user delays.
Technology investor Imperial Innovations (IVO) slips 1.6% to 270p as the market is unimpressed by the progress of its dust mite allergy treatment. The drug, developed by portfolio company Circassia, significantly reduces symptoms in those receiving four doses over 12 weeks in a phase II clinical trial.
Ukrainian shopping centre developer Arricano (ARO: AIM) raises $24 million (£15.1 million) by admitting its shares to the junior market. At 233c per share, the group has been valued at $241 million and simultaneously expanded its portfolio through buying four developments.
Troubled miner Stratmin Global Resources (STGR:AIM) rises 25% to 23.75p after agreeing to sell 200 tonnes of graphite to a company in Austria. We looked at the company's challenges in a news analysis last week.
One of Shares' favourite small cap stocks, document storage group Restore (RST) advances 6.6% to 136.5p on decent half-year numbers. Pre-tax profit rises 95% to £4.1 million; the dividend's gone up 50%.