Shares in the AIM favourite fizz 355p up to £38.10 on word that full year results will be ‘comfortably ahead’ of expectations, as the premium drinks maker reported a 35% jump in first half core earnings on the back of strong sales in the UK.
The soft drinks maker reported a 3.4% rise in third quarter sales to £366.9m, compared to 4.5% growth in the same quarter last year. Britvic says UK sales rose 1.9%, although that’s after the effects of the Soft Drinks Industry Levy which came into force in April.
Stripping out the new tax, UK revenue rose 8% in the third quarter to 8 July.
On the wider markets, miners are fuelling modest gains for the FTSE 100 index in early trade Tuesday, led by the 1.4% rise of Rio Tinto (RIO), closely followed by Glencore (GLEN) and Anglo American (AAL).
SHARE SALE ON AT SUPERDRY
Fashion brand Superdry (SDRY) is under the cosh in early trade on Tuesday after news that the co-founder has sold a 6.7% stake in the company. Julian Dunkerton has sold 5.5m shares in the company he helped form worth £71m, taking his personal stake down to 18.5%.
Investors are taking a gloomy view of the move, perhaps thinking it a sign of even stiffer immediate prospects for the clothing retail environment. Shares in the company have plunged nearly 8% in early deals to £12.59. The stock has slumped from over £20 levels during the past year.
British shopping centres group Hammerson (HMSO) said on Tuesday that it is planning £1.1bn of asset disposals by the end of 2019 as part of an overhaul of its business following its failed takeover of rival Intu Properties (INTU) earlier this year.
The shopping centre owner also said that adjusted profit rose by 0.5% to £120m for the six months to 30 June.
Hammerson shares nudge around 1% higher to 531.2p as investors give the news a warm reception. The company also planning to streamline its board with chief investment officer Peter Cole set to step down in December. Jean-Philippe Mouton will also step but will remain in his role as managing director of Hammerson's French business.
OUTAGES DIM DRAX PROFITS
That news sends shares in the FTSE 250 company spinning 6% lower to 336.6p.
Investors take the news in their stride, the stock edging 5.5p ahead at 870.5p.
Compound microchips designer IQE (IQE:AIM) sees its share price jump 6.5% to 107.9p after issuing an upbeat update on trading. The company flags ‘double-digit’ growth across all three segments of its business and confirms expected first half revenues worth around £73m.
Gold prices edged down on Tuesday on a firmer dollar and a rise in US Treasury yields and as investors’ reaction to the dispute between the United States and Iran remained muted.
Oil prices extended declines into a second session on Tuesday as attention shifted to the risk of oversupply, with market participants shrugging off escalating tensions between the US and Iran.