The FTSE 100 is in negative territory, down 45 points to 7,703 despite a strong a performance on Wall Street overnight. This follows reports the Trump administration will ramp up the pressure in its mounting trade war with China.
FTSE 100 bank Lloyds (LLOY) gains 2.3% to 63.83p on reporting a 23% increase in statutory pre-tax profits to £3.1bn for the first half to 30 June compared to the prior year. The bank has also reduced its impairments by 70% to £456m. A key indicator of a bank’s profitability, net interest margin, is 11 basis points to 2.93% on a year on year basis.
Retailer Next (NXT) drops 5.7% to £55.96 as the company reveals that its high street sales are continuing to suffer. However, including its online offering the company’s sales are up 4.5% for the 26 weeks to 28 July compared to the prior year.
Outsourcing company Capita (CPI) loses 3.5% to 156.4p on releasing its half year results. The recently installed CEO Jon Lewis who viewed the business said the business was ‘too complex’ on taking the role now says ‘we have continued to make good progress on the plans we set out to simplify and strengthen the business’.
The results to 30 June show the company’s revenue is down 4% to £2bn while underlying pre-tax profit is down by 59% to £80.5m both on a year on year basis.
Engineering support services company Aggreko (AGK) shifts up 11.1% to 825.5p on the release of a strong set of first half results. The company’s revenue is up 14% to £857m while pre-tax profits improve 8% both on an underlying and year on year basis.
Funeral service provider Dignity (DTY) ticks up 5.3% to £10.66 after releasing results ahead of market expectations. Despite underlying pre-tax profit being down 6% to £43.3m on the prior year, the company says the number of deaths has increased ‘significantly’ and it has a greater share of the funeral market.
Asset manager Man Group (EMG) is up 3.8% to 180.1p as its first half to 30 June results show an increase in funds under management to $113.7bn and inflows of $8.3bn into its products during the period. The company’s pre-tax profits are up 18% to $90m compared to the prior year.
Insurer Direct Line (DLG) drops 4.1% to 329.7p as its gross written premiums are down by 5% to £1.6bn in the first half to 30 June compared to the prior year. Perhaps more concerning to investors is its combined ratio rising by 4.4 percentage points to 93% in the space of a year and the departure of chief executive Paul Geddes.
