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The below stocks have been identified as having potential to register bigger than normal share price moves (up or down) today based on the news cited
Centrica projects FY adj. op. cash flow £2.1-2.3B, net debt £2.5-3B, unchanged dividend and op. profit/EBITDA above 2017. Reiterates FY targets despite UK tariff caps (est. £70m op. profit hit), extended Nuclear outages/inspections and forecast production fall from Spirit Energy. Trading in commodity-exposed consumer business highly competitive. £200m annualised efficiencies ontrack.
Severn Trent H1 turnover +3.6%, group underlying EBIT +4.3% (reported +1.4%), dividend +7.9%; Outcome delivery incentives in-line with expectations; £10m cost in H1 for dry summer, expect similar cost in H2 for recovery; Capex plans on-track, locked in 95% of totex efficiencies.
Mitchells & Butlers FY adj. revenue +0.5% YoY, pre-tax profit -1.1%, op. margin -30bps. No final dividend (like at interim). Positive trading in new year (first 7 week sales +2.2%); challenging market.
(Sources: Company newswires, Bloomberg, CNBC, FT, Reuters, Wall Street Journal)
For more information on any of these individual news items, call into the trading floor
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Prepared by Michael van Dulken, Head of Research