– The FTSE 100 closed the day at 6,146.10, an increase of 71.58 points.
– The FTSE 250 rose by 157.76 points to finish at 17,000.28.
– The FTSE All Share climbed by 37.22 points to 3,386.49.
– The FTSE AIM All Share finished at 734.73, up by 2.16 points.
Eurozone GDP growth for the second quarter of 2015 has been revised upwards to 0.4% from 0.3% on the back of a stronger Italian performance than had been initially estimated. However, France remains a worry and Eurostat maintains that there was no change in the country’s GDP during the quarter.
Hospitality outfit Whitbread (WTB) has seen revenues grow by 11.1% year on year for the 11 weeks ended 13th August, but closer inspection reveals a less impressive 3.3% organic improvement. The company also said that it is working to meet the challenges it faces in light of the Government’s living wage policy and is looking at a course of price increases and efficiency savings. Whitbread shares dropped by 75p to 4,636p.
Housebuilder Redrow (RDW) reported a 53% increase in profits before tax for the year ended 30th June to £204 million, with the Government’s help to buy scheme helping to boost completions to more than 4,000. This rise in sales numbers and increasing average prices pushed revenues up by 33% to £1.15 billion. Management said that net debt would increase in the short run as the company invested in new projects. Redrow shares climbed 6.6p to 488.6p.
Genus (GNS) announced profits before tax of £46.6 million for the 12 months ended 30th June, a 19% improvement over the same period of the prior year as its porcine products division posted fatter earnings. The cattle arm performed as anticipated, but the firm’s Asian segment saw a decline in performance. Genus shares fell by 25p to 1,350p.
Testing times at SQS Software (SQS) have led to the company cutting its profit forecasts for the current financial year. The quality assurance specialist said that it is facing increasing pressure on its profit margins, but pre-tax profits for the six months ended 30th June were up by 5.6% at €9 million (£6.52 million). SQS shares plummeted by 16.67% to 480p.
Tomorrow’s news today
Barratt Developments (BDEV) and Hargreaves Lansdown (HL.) will publish final results tomorrow, while Alkane Energy (ALK) and Advanced Medical Solutions (AMS) will put out their interims.
Quote of the day
“Never call an accountant a credit to his profession; a good accountant is a debit to his profession.”
– Charles Lyell