London’s FTSE 100 sheds 7.7 points to trade at 7,730 on Tuesday, investors seemingly unimpressed by the vague wording of the historic agreement struck between the US and North Korea.
Housebuilder Crest Nicholson (CRST) cheapens 5.7% to 421p on worse than expected half year results. The residential developer operating in southern England reports a decent sales performance, but build cost inflation hit margins and Crest warns next year’s operating margins are likely to be flat at roughly 18%.
Crest Nicholson believes sales at higher price points ‘will continue to be impacted by a slow second-hand market and this is likely to restrain volume growth in this segment of the market in the near term, as well as impacting on overall pricing gains.'
Pizza delivery chain Domino’s (DOM) sours 3.8% to 370.5p on the sudden departure of finance director Rachel Osborne, who quit her post abruptly yesterday. Domino’s seeks to settle investor nerves by reiterating the outlook given at March's full year results and ‘the confidence in the company’s performance in 2018 and beyond’.
In the retail sector, quirky British fashion brand Ted Baker (TED) tumbles 82p to £23.04 on news sales growth slowed to 4.2% in the 19 weeks to 9 June. Founder and CEO Ray Kelvin bemoans challenging market conditions and the poor weather across Europe and America’s East Coast in the early part of period.
Online fast-fashion seller Boohoo.com (BOO:AIM) softens 2% to 215.6p despite strong first quarter results showing sales up by a forecast-busting 53% to £183.6m, reflecting market share gains across all geographies. The disappointment centres on slowing growth in the original boohoo brand, although PrettyLittleThing and Nasty Gal both grew by around 150%. Rather than upgrading expectations, Boohoo reiterates full year guidance for 35% to 40% top line growth with adjusted EBITDA margin of 9% to 10%.
Elsewhere, Halma (HLMA) improves 8p to £14.30 on another strong set of full year figures with revenues exceeding £1bn for the first time in the group’s history. The safety, health and environmental technology play’s adjusted taxable profits are 9% ahead at £214m and the total dividend is lifted 7% to 14.68p.
Technology tools and systems maker Oxford Instruments (OXIG) sparks up 4.3% to 954p despite full year results reflecting a tough trading backdrop for the Research and Discovery business. Investors focus on a return to the black and the period end order book, which has grown 10.4% to £134m, including growth in the troublesome Research and Discovery segment, auguring well for the new year.
Lipstick-to-eyeshadow specialist Warpaint London (W7L:AIM) clips ahead 2.8% to 220p on news its Christmas order book is ahead of last year for both the W7 and Retra brands.
