Market Commentary - Housing, Infrastructure, Construction and Services 3rd May 2017
Whoops, we missed Mitie’s announcement as we were a bit distracted by Galliford and Costain Galliford Try has provided a bit of shock this morning with a £98m write-off on two infrastructure JVs in a trading update that indicates almost all other activity is going as planned or better. We shall do a bit more work on GFRD and the company may call us back before the 10am conference call. There was some relevant news yesterday after close of play. Costain, John Laing Group (JLG) and Pennon all announced that Manchester waste project has moved to the next stage.
Read more...Deutsche Beteiligungs – significant uplift to FY17 earnings guidance
FY17 net income projected to exceed comparable FY16 net income by more than 20%
Deutsche Beteiligungs (DBAG) has announced that it expects to report net income for the year to 30 September 2017 that significantly exceeds the €46.3m comparable income for the prior year, equating to net income of more than €56m for FY17. Previous guidance, first given at the time of the FY16 results and confirmed with Q117 results, was for a moderate 10% to 20% decline in net income. The revised forecast is based on c €44m preliminary net income for H117, which follows DBAG’s announcement today of the divestment of its stake in Romaco Group.
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Cairn/FAR return to deepwater FAN in Senegal
The next well to be drilled by the Cairn/FAR joint venture offshore Senegal will be the FAN South-1 exploration well, marking a shift away from the shelf and back into the basin where the first exploration well, FAN-1, was drilled in 2014.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 2nd May 2017
News this morning comes from Bovis with a trading update related to its AGM, Breedon has made a small bolt-on acquisition and Civitas Social Housing has spent a bit more of the £350m of equity raised. Bovis has made the expected affirmation that the start point is getting the build process to where it should be. Breedon has bought a small “mini mix” concrete operator based in Oldbury. News this week is expected from Carillion on Wednesday at its AGM, at which it usually provides an update. On Thursday from Morgan Sindall, has its AGM and G4S provides an update and on Friday T Clarke has its AGM and will most likely tell us about trading YTD.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 28th April 2017
Following a plethora of news yesterday, today is relatively quiet with just SNC-Lavalin’s announcement that it has raised C$1.3bn of the required C$3.6bn needed to buy Atkins, slightly more (C$80m) that was expected from the public subscription and CDPQ placing. Berendsen’s update was popular with investors and the stock rose 5.8% to 869p, its highest level since early March this year when the second warning triggered a sell off.
Read more...China launches its first indigenous aircraft carrier
A show of force which will force the West to take notice
China celebrated the launch of its first domestically built aircraft carrier yesterday (Wednesday 26th April). Known as Type 001A, the ship is as yet unnamed and is the largest ever warship to be built by China. The televised launch comes at a time when tensions are running high in the region’s waters after the US deployed warships and a submarine to the Korean peninsula.
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Is stability returning to aerospace in Dorset?
Cobham and Meggitt Q1 FY17
Meggitt and Cobham both provided in line trading statements this morning, although the current position of both companies is somewhat diverged.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 27th April 2017
It’s a big day for news with AGM related trading updates across the patch including Berendsen, Taylor Wimpey and Persimmon. Q1 trading updates from Howden Joinery, Countrywide and Travis Perkins have added to a busy morning. The trend in the last week has been for there to be far more risers than fallers in the HICS sector and stock prices are creeping upwards. That trend is not wholly consistent with the increased level of uncertainty now faced by UK companies in terms of the home market.
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