Centrica and SSE may be impacted after OFGEM allows a 10% increase to the max/cap they can charge for gas and electricity, to those who have not switched suppliers and are on default tariffs, to allow suppliers recover higher wholesale energy costs.

Compass Group sees FY organic revenues growth slightly above middle of target 4-6% range with modest margin progression. Current FX rates would boost FY revenues by £508m, profits by £43m. 3M organic revenues +6.9% (N. America +8%, Europe +6.4%, RoW +2.8%); strong new business wins, good retention, bolstered by new UK Defence contracts and favourable sporting calendar.

Thomas Cook reiterates FY guidance, early trading in-line. Q1 revenue +1% YoY, underlying op. loss increased to £60m (from -£46m). Began strategic review of airline, considering all options. Will reduce airline capacity after weaker summer 2019 bookings reflected consumer uncertainty.

Smith & Nephew FY in-line, underlying revenue +2% (Q4: +3%), op. profit +7.1%, cash flow +1.1%. 1% FX boost to revenues. Over half of 90bp margin expansion from on-off legal settlement. FY dividend +3%. FY’19 underlying revenue expected +2.5-3.5%, with op margin +40-80bps.

Tate & Lyle backs FY guidance, but EPS at lower end of mid-single digit range due to US energy and transport cost inflation and strong 2018 commodity performance. In Q3, group adj. pre-tax profit grew in constant FX. Food & Beverage Solutions vol in-line with H1, profits up YoY. Sugar volumes higher, profits up slightly. Weaker demand for sweeteners in N America saw profits fall.

Beazley FY gross written premium +12% (in-line, top of range), pre-tax profit -55% (beat), combined ratio -10bps to 98% (beat), RoE 5% (from 9%), dividend +5%. Property insurance losses hit earnings, but higher interest rates and firmer pricing leading to “moderate tailwinds” into 2019.

(Sources: Company newswires, Bloomberg, CNBC, FT, Reuters, Wall Street Journal)