Shell Needs to Build Upstream Longevity
1118 GMT - Shell needs to show it can fund its dividend from its
core business in a sustainable way to build a positive investment
case, as the expected dividend bump won't be enough, RBC Capital
Markets says ahead of the oil major's Capital Markets Day next
week. "In our view, this requires Shell to provide a path for
upstream (+ integrated gas) volumes from current levels out to
2030," RBC analyst Biraj Borkhataria writes in a research note.
While some investors fear upstream mergers and acquisitions, which
would likely need to be paid in cash and therefore result in higher
capital expenditure, these concerns could be squashed by
incorporating inorganic activity into the capex budget, the analyst
says. Shares are up 0.5% at 2.306,50. (christian.moess@wsj.com)
COMPANIES NEWS:
M&G's Assets Under Management and Administration Edged Up in
1Q
M&G on Thursday posted a slight rise in its assets under
management and administration over the first quarter of 2023 amid
volatile markets.
---
Capita Agrees to Sell Noncore Software Businesses for Enterprise
Value of GBP33 Mln
Capita PLC said Thursday that it has agreed to sell a set of
noncore software businesses to AdvancedAdvT for an enterprise value
of 33 million pounds ($41 million).
---
Mitie Group's FY 2023 Pretax Profit Jumped on Contract Wins,
Renewals and Extensions
Mitie Group said Thursday that its pretax profit more than
doubled in fiscal 2023 on a revenue driven partly by contract wins,
renewals and extensions.
---
Galliford Try Receives GBP26 Mln in Settlement; Will Pay Special
Dividend
Galliford Try Holdings said Thursday that it has agreed
settlement terms over a long-standing multi-contract dispute,
receiving a cash payment of 26 million pounds ($32.3 million), and
declared a special dividend.
---
FirstGroup to Launch GBP115 Mln Buyback Program After Swing to
FY 2023 Pretax Profit
FirstGroup said Thursday that it swung to a pretax profit for
fiscal 2023 as revenue rose due to growth in First Bus and First
Rail divisions, and that the board would propose a buyback program
of up to 115 million pounds ($143 million).
---
Churchill China on Track to Meet 2023 Profit Expectations
Churchill China on Thursday said it is on track to meet profit
views for the year as trading is in line with expectations and
export markets continue to perform well.
---
Crest Nicholson Swung to 1H Pretax Profit Despite Revenue
Slip
Crest Nicholson said Thursday that it swung to a pretax profit
for the first half of fiscal 2023, reflecting an exceptional charge
a year prior and despite an economic uncertainty-driven fall in
revenue.
---
CMA Says Hitachi-Thales Deal Could Reduce UK Competition
The U.K.'s competition watchdog said on Thursday that Hitachi's
proposed acquisition of Thales's transportation-systems business
could affect costs and quality of service for passengers.
---
Wizz Air FY 2023 Pretax Loss Narrowed Amid Record Passenger
Numbers
Wizz Air Holdings said Thursday that pretax loss for fiscal 2023
narrowed as revenue surged on passenger numbers reaching a record
51.1 million.
---
Glenveagh Properties Experiencing Strong Demand, Reiterates 2023
Guidance
Glenveagh Properties said Thursday that its market continues to
benefit from very strong underlying demand and reiterated its 2023
guidance.
---
Midwich Completes Share Placing at 425 Pence Each
Midwich Group said Thursday that it has now issued 11.8 million
new ordinary shares at 425 pence under the share placing first
announced late Wednesday.
---
AdvancedAdvT to Buy Five Capita Units in Reverse Takeover;
Shares Suspended
AdvancedAdvT said Thursday that its shares have been suspended
under takeover rules as it has agreed to a reverse takeover of five
non-core software businesses from Capita PLC.
---
Hargreaves Services Expects to at Least Meet FY 2023 Market
Views
Hargreaves Services said Thursday that it expects to at least
meet market expectations for fiscal 2023, after a strong
performance from its Services business and a better-than-expected
contribution from its German joint venture.
---
Gama Aviation's Pretax Loss Narrowed in 2022
Gama Aviation said Thursday that its pretax loss narrowed in
2022, driven partly by strong results in its business aviation
unit.
---
Altitude Group Sees FY 2023 Revenue, Adjusted Earnings Rise; FY
2024 Ahead of Year-Prior Period
Altitude Group said Thursday that it expects to report a rise in
revenue and adjusted earnings before interest, taxes, depreciation
and amortization for the year ended March 31, and that its initial
performance for fiscal 2024 continued to be strong and tracking
significantly ahead of the year-prior period.
---
Camellia Sees 2023 Adjusted Pretax Profit Lower Than in 2022
Camellia on Thursday said it now expects its adjusted pretax
profit for 2023 to be lower than the year prior, given falling
macadamia sale prices, while revenue is seen ahead.
---
Shearwater Group FY 2023 Revenue Fell; Sees Market Conditions
Improving in Current Year
Shearwater Group said Thursday it will report a fall in revenue
for the year ended March 31 with adjusted Ebitda at around
breakeven, and that fiscal 2024 has seen improving market
conditions.
---
Barryroe Offshore Shares Drop on Withdrawal of Placing, Open
Offer
Shares in Barryroe Offshore Energy plummeted on Thursday after
the company said it has withdrawn its proposed placing and open
offer to raise corporate working capital as a result of the Irish
Minister for the Environment, Climate and Communications refusing
to grant a lease undertaking.
---
Sopheon Making Progress in 2023 To-Date; Full-Year Revenue
Visibility Rises
Sopheon said Thursday that it has made continued commercial
progress in 2023 to-date, with full-year revenue visibility
increasing to $31 million, from $28 million at the same time a year
prior.
---
RWS Holdings 1H Profit Slipped; Backs Full-Year Views and
Discloses Buyback Intentions
RWS Holdings said Thursday that its first-half pretax profit
slipped, though it expects its full-year results to at least meet
guidance and market forecasts and declared share buyback
intentions.
---
Sabien Technology Flags Strong Sales of M2G Unit in FY 2023
Sabien Technology Group on Thursday said that the strong sales
performance of its M2G business has continued and accelerated
toward the end of fiscal year to June 30.
---
Boku Extends Share Buyback Program by Up to GBP10.5 Mln
Boku said Thursday that it will extend its share buyback
program, repurchasing up to an additional 5.25 million shares for
up to 10.5 million pounds ($13.1 million).
---
i3 Energy Plans to Cancel Share Premium Account to Open Cash
Return Options
i3 Energy said Thursday that it is seeking shareholder approval
to cancel its share premium account, giving it the ability to
consider paying out dividends or other shareholder returns.
---
Pantheon Resources Chairman to Step Down; David Hobbs Named
Successor
Pantheon Resources said Thursday that Executive Chairman Phillip
Globe intends to retire, and named David Hobbs as successor.
---
IGas Appoints Chris Hopkinson as CEO, Philip Jackson as
Nonexecutive Chairman
IGas Energy said Thursday that it has appointed Chris Hopkinson
as chief executive officer Philip Jackson as nonexecutive chairman,
effective immediately.
---
R.E.A. Holdings' 1H to Be Hurt by Lower Prices, Exchange Rates,
But Output Up on Year
R.E.A. Holdings said Thursday that fresh-fruit bunch output rose
in the January to May period and that its first-half results will
reflect the lower selling price of crude palm oil as well as a
significant exchange loss stemming from the strengthening of the
Indonesian rupiah against the U.S. dollar.
---
Bonhill Group Shares Plummet on AIM Trading Cancellation
Plan
Shares in Bonhill Group fell on Thursday after the company late
Wednesday launched a 4.8 million pound ($6 million) tender offer
and said that it was seeking shareholder approval to cancel its
listing on London's junior AIM.
---
AOP Health Gets Zero Acceptances to Mandatory Offer for Shield
Therapeutics
AOP Health International Management said Thursday that it hasn't
received any acceptances in respect of its mandatory 46.1 million
pound ($57.3 million) offer for Shield Therapeutics.
---
CAB Payments Holdings Considers London Listing
CAB Payments Holdings on Thursday said it is considering
floating on the London's main market via premium listing.
---
Fiinu 2022 Pretax Loss Widened, Sees Full UK Banking License in
2H
Fiinu said Thursday that 2022 pretax loss has widened and that
the group is focused on promoting its main product in U.K. and
securing regulatory approval.
---
Bank of Cyprus Raises Current, Next Year Targets on Higher Rates
Expectations
Bank of Cyprus Holdings on Thursday lifted its financial
guidance for 2023 and 2024 as it expects interest rates to remain
high for longer, before slowing down in 2025.
---
Entain Sees TAB NZ Partnership, 365scores Buy Delivering
Earnings up to GBP20M in 2024
Entain said Thursday that it expects its strategic partnership
with TAB New Zealand and its recent acquisition of 365scores to
deliver combined earnings of around 15 million to 20 million pounds
($18.7 million-$24.9 million) in 2024.
MARKET TALK:
FirstGroup's Strong Balance Sheet Gives Buyback, Acquisitions
Scope
1208 GMT - FirstGroup shrugged off the loss of the TransPennine
Express franchise and the continuing effect of industrial action as
it benefits from strong travel demand stemming from the U.K.'s
government scheme to cap bus fares, AJ Bell analyst Russ Mould
writes. Still, the transport operator needs to focus on improving
performance and reliability if it isn't to face further government
sanctions and see passenger numbers drop as people are turned off
by delays and cancellations, Mould says. "The company's strong
balance sheet is testament to careful husbandry of its finances
through the pandemic and gives the company scope to reward
shareholders with buybacks and to look at acquisitions, perhaps
even a bid for rival U.K. bus operator Arriva," he says. Shares are
up 15% at 136.90 pence. (anthony.orunagoriainoff@dowjones.com)
---
Pets at Home's Discipline Improves Food Pricing Ahead of
Competitors
1135 GMT - Pets at Home's food pricing position in April and May
suggests a clear positive change that reflects the group's strong
cost discipline despite the inflationary backdrop, Jefferies
analysts Andrew Wade and Grace Gilberg say in a note. Jefferies's
pet food pricing tracker highlights that the U.K. pet-care company
pricing position moved to within 1% of zooplus from the previous
range of 3% to 5%, and to around 10% cheaper than Amazon from 3% to
5% recorded last autumn, they say. While the comparisons focus on
large-scale competitors, the company has a substantial advantage
versus smaller operators, where the average pricing is 30% more
expensive on like-for-like products, they add.
(michael.susin@wsj.com)
Contact: London NewsPlus, Dow Jones Newswires;
(END) Dow Jones Newswires
June 08, 2023 08:40 ET (12:40 GMT)
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