A profit warning from travel booking group Hogg Robinson (HRG) sends its shares crashing 12.5% to 63p. It blames unfavourable foreign exchange rates, strong competitor pricing, weakness in the small to medium-sized business market and delays to a long-term contract with the Canadian government meaning that costs are higher than necessary as it currently has too many staff needed to do the job.
Semiconductor designs champion ARM (ARM) pleases investors by soundly beating second quarter expectations, as flagged by Shares, the stock rallying 3.3% to 861p. Lorne Daniel, analyst at finnCap calls a good set of results and flags the outperformance. 'Revenue is up 9% to £187.1 million, beating consensus by 3%,'he says, adding, 'adjusted pre-tax profit up 9% to £94.2 million, beating consensus by 5%, and adjusted earnings per share up 10% to 5.4p, beating consensus by 8%.' Pleasingly, royalty revenues, an area of disappointment in the first three month, comes in on target.
Gold producer Petropavlovsk (POG) reverses its major equity sell-off since May, rising 7.8% to 38p on an upbeat trading statement. First-half production is up by 4% to 306,400 ounces of gold. Its earlier decision to lock-in a proportion of output at a fixed gold price has paid off, as it has sold the precious metal for higher than the prevailing market price during the six-month period. The shares had been on a sharp downwards trend as investors worry about the sky-high debt in the business. Petropavlovsk says it is 'actively working' on a refinancing plan.
Cardiff-based epi-wafer specialist IQE (IQE:AIM) reveals hefty £6.5 million of restructuring costs and headline revenue down 17%, hitting the shares hard, down more than 10% to 20.5p. Destocking by customers and forex issues are putting he squeeze on, although finnCap flags improved efficiency that helps earnings before interest, tax, depreciation and amortisation (EBITDA) rise 5%. 'The destocking is due to mobile handset weakness at the end of last year and the outlook is brighter as wireless demand recovered through the second quarter on the 4G rollout in China,' say Lorne Daniel.
Serial offender Hydrogen (HYDG:AIM) continues to disappoint, being one of the few recruitment companies not able to capitalise in the jobs market recovery. It issues yet another profit warning, relating to its first-half period. Hydrogen insists it still has a chance of hitting full-year forecasts thanks to a more favourable market backdrop. Investors may have different ideas as the shares fall 6.1% to 77.5p.
Real-time location intelligence technology supplier Ubisense (UBI:AIM) rises more than 3% to 180.5p as it wins a contract with a major US electricity supplier. The deal is initially worth $1.5 million. This follows yesterday's upbeat half-year trading update.
Formalwear tailor Bagir (BAGR:AIM) slumps 25% to 9p on a disappointing half-year trading statement. Results for the six months to June will show a loss before tax of US$2 million on $48 million turnover and full-year results will be at the lower end of forecasts downgraded following a severe May profits warning, just a month after IPO.
Pure-play online fashion retailer Boohoo.com (BOO:AIM) raises smiles with a 2.4% gain to 38.38p. Investors like news of the launch of a new German language website, building on French and Spanish sites which drove bumper revenue uplifts. Shares recently outlined the retailer's global growth potential.
Renovation specialist Max Property (MAX:AIM) leaps 7.4% to 166.7p after agreeing to sell the business to Blackstone Real Estate Partners for £414.2 million. Max will return 184.2p a share to investors if they clear the deal.
Life science research tool provider Abcam (ABC:AIM) rises 5.7% to 380p as it reveals forecast-beating pre-tax profits in the year to July. Strong international demand and tighter costs are factors. Prelims are due 9 September.