As worries over US-China trade bubble away in the background, the FTSE 100 struggles to make much progress on Thursday, marked down 11.3 points to 7,286 with a drag from a number of index heavyweights trading ex-dividend.
UK cyber security specialist Sophos (SOPH) surges 14.2% higher to 388.4p on strong full year results showing 11% top line growth to $711m and a swing into the black at the pre-tax line. Investors are also wowed by a confident outlook from chief executive officer (CEO) Kris Hagerman, who insists ‘we have become a leader in the next-gen cybersecurity market, and we are excited about the road ahead.’
Troubled travel agent Thomas Cook (TCG) tumbles the best part of 20% to 18.5p after warning it expects lower second half earnings due to ‘continued competitive pressure’ arising from consumer uncertainty. First half results reveal a massive widening of losses at beleaguered Thomas Cook, which is currently assessing multiple bids for its airline business.
Luxury goods leader Burberry (BRBY) loses 4.6% to trade at £18.33 despite flagging a ‘very encouraging’ reaction to designer Riccardo Tisci’s first collections and announcing a 3% dividend hike and a £150m share buyback.
Investors are instead focusing on the flat sales and profits delivered for the year to March with subdued growth in China, not to mention Burberry’s guidance for ‘broadly stable’ revenue and operating margin in 2020 with a more pronounced second half profits weighting.
Retirement planning firm Just Group (JUST) is also friendless, the shares cheapening 6.8% to 60.5p on news of a sharp fall in first quarter new business sales as a ‘temporary reduction’ in defined benefit activity saw retirement income sales slump.
British logistics leader Wincanton (WIN) improves 4p to 260p on full year results showing healthy growth in underlying pre-tax profit with a 10% dividend hike to 10.89p.
Independent gas, electricity and water supplier Yu Group (YU.AIM) shoots 63% higher to 245p on the welcome news the Financial Conduct Authority (FCA) has stopped its investigation into the accuracy of statements made to the market last year and has ‘no present intention’ to take action against the company.
Window and door retailer Safestyle UK (SFE:AIM) slumps 15.3% to 78p on a warning full year profits will be below market expectations, despite growth in the order book in the first four months of the year, due to slower than expected margin improvement under the Bradford-headquartered company’s turnaround plan.
Premier Oil (PMO) powers 6.7% higher to 96.4p as it increases its full year production guidance to 75,000-80,000 barrels of oil equivalent per day as ‘very high’ group operating efficiency and a late contribution from now-sold Pakistan assets led to higher than expected production.
