HSBC Vs. Shareholders Battle Over Breakup Intensifies
0926 GMT - HSBC's Asian spin-off debate should keep on dominating the headlines ahead of the bank's results next week, interactive investor says in a market comment after shareholder advisory group ISS sided with HSBC, saying the plan put forward by Chinese insurer and biggest shareholder Ping An lacks a detailed rationale while vocal activist shareholder Ken Lui holds talks with Ping An. "The battle is intensifying between HSBC and its dissenting shareholders," interactive investor head of investment Victoria Scholar says. London-listed shares, which are up 11.7% year to date, rise 0.4% at 576 pence. (elena.vardon@wsj.com)
COMPANIES NEWS:
Checkit FY 2023 Pretax Loss Widened on Higher Costs; To Meet FY 2024 Market Views
Checkit PLC said Monday that its pretax loss widened for fiscal 2023 after booking higher costs, and that the board expected to meet market expectations for fiscal 2024.
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Medica Group Agrees to GBP269 Mln Takeover by IK Investment Partners
Medica Group PLC said Monday that it has agreed to a 269 million-pound ($334.6 million) takeover by IK Investment Partners.
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CentralNic 1Q Revenue Grew; Sees Performance at Least in Line With Market Views
CentralNic Group PLC said Monday that revenue rose 24% in the first quarter of 2023, and that it sees its performance to continue at least in line with market expectations.
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Mind Gym Sees FY 2023 Revenue Rise, Pretax Profit in Line
Mind Gym PLC on Monday said it expects to report a 12% revenue growth for fiscal 2023 driven by good momentum in the second half of the year and that it remains confident in the group's prospects.
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Lok 'n Store 1H Profit Fell; Revenue Rose
Lok 'n Store Group PLC said Monday that revenue for the first half of fiscal 2023 rose but pretax profit fell, as the previous period benefited from the sale of four stores.
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Brighton Pier 18-Month Pretax Profit Benefited from Pent-up Demand; Reduces Debt
Brighton Pier Group PLC said Monday that pretax profit for the 18 months ending Dec. 25 benefited from a pent-up consumer demand and government support programs, while it managed to repay nearly half of its debt following the easing of pandemic restrictions.
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Gulf Marine Services 2022 Pretax Profit Fell on Higher Costs; Backs Guidance
Gulf Marine Services PLC said Monday that 2022 pretax profit fell after booking higher costs and backed its guidance for 2023.
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Kaspi.kz 1Q Revenue Rose as Performance Across Platforms Improved
Kaspi.kz JSC said Monday that first-quarter revenue soared on the back of improved performance across all its platforms.
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React Group Sees 1H Higher Revenue, Profit on Sales Growth
React Group PLC on Monday said it expects to report higher revenue and gross profit for the first half of fiscal 2023 driven by good sales growth in its three divisions from positive contract win momentum over the period.
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Insig AI to Report Revenue Rise for FY 2023; To Raise GBP900,000 via Subscription
Insig AI PLC said Monday that it expects to report a rise in revenue for fiscal 2023, and that it will raise 900,000 pounds ($1.1 million) via a subscription.
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THG Taps Sue Farr as Senior Independent Director
THG PLC said Monday that it has appointed Sue Farr as senior independent director with immediate effect, replacing Dean Moore, who was undertaking the position in a interim basis.
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Christie Group's 2022 Pretax Profit Rose on Postpandemic Recovery
Christie Group PLC said Monday that its pretax profit rose 13% in 2022, due to increased revenue on the back of a recovery from its pandemic performance, especially in its Professional & Financial Services division.
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Cordel Appoints John Davis as CEO
Cordel Group PLC said Monday that it has appointed John Davis as chief executive officer with immediate effect.
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Spectra Systems CFO Colleen Hamill Resigns
Spectra Systems Corp. said Monday that Chief Financial Officer Colleen Hamill has resigned.
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Keystone Law's FY 2023 Pretax Profit Flat on Year, Revenue Grew
Keystone Law Group PLC said Monday that its pretax profit came in flat in fiscal 2023, but revenue grew on strong demand.
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Shanta Gold's CEO Eric Zurrin to Step Down
Shanta Gold Ltd. said Monday that Chief Executive Officer Eric Zurrin will step down from the role.
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Asimilar Swung to FY 2022 Loss on Portfolio Declines; Share Trading Restored
Asimilar Group PLC said Monday that it swung to a pretax loss in fiscal 2022 as its portfolio value declined, and trading in its shares has been restored.
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Narf Industries Names John Herring as Executive Chairman
Narf Industries PLC said Monday that it has appointed independent nonexecutive director John Herring as executive chairman with immediate effect.
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Pineapple Power Enters Preliminary Agreement for Reverse Takeover With Element 2 Ltd.
Pineapple Power Corp. said Monday that it entered into a nonbinding preliminary agreement on Friday with U.K.-based hydrogen refueling business Element 2 Ltd. to acquire all outstanding shares in the latter.
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Jubilee Metals Backs 2023 Production Guidance After Robust 1Q
Jubilee Metals Group PLC said Monday that 2023 production guidance for platinum group metals and copper remains unchanged, while chrome is expected to exceed.
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Frasers Increases Stake in N. Brown
N. Brown Group PLC said Monday that Frasers Group PLC has increased its interest in the company.
MARKET TALK:
ASOS Shortselling Hit Adds to Cash Woes
1023 GMT - ShadowFall's short position in ASOS highlights the challenges faced by CEO Jose Antonio Ramos, with more than 10% of the online retailer's stock out on loan, AJ Bell investment director Russ Mould says in a note. "It's easy to see why corporate vultures are circling... Ramos is desperately reducing inventory and slashing costs as he looks to stem the flow of cash which is bleeding out of the business," Mould says. ASOS's recovery now looks a huge challenge, with the company rueing opportunities to strengthen during the pandemic, he adds. "The company failed to fix the roof while the sun was shining," Mould says. (michael.susin@wsj.com)
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Keystone Law Should Benefit From Cooling Recruitment Market
1023 GMT - Keystone Law should see revenue benefit from a cooling recruitment market, Liberum analysts James Allen and Nick Anderson write in a research note. Recruitment of principal lawyers--the London-listed law firm's key driver for long-term growth--should gain from easing recruitment conditions and subsiding wage inflation, the analysts say. "1H will likely be a period of converting new leads, with stronger principal numbers expected to show up in 2H 2024 numbers once notice periods for new joiners have lapsed," they say. Liberum has a buy rating on the stock and a price target of 750 pence. Shares are down 3.9% at 450 pence. (christian.moess@wsj.com)
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Halfords' Ambitious Midterm Targets Likely to be Achievable
0941 GMT - Halfords set ambitious targets over three to four years on the back of eased costs and synergy initiatives, prompting a recommendation upgrade to hold from sell, Liberum analysts Adam Tomlinson and Wayne Brown say in a note. The motoring-and-cycling retailer, which expects to double its pretax profit to a range of GBP90 million to GBP110 million, could unlock it with around 25% of the uplift related with cost/synergy initiatives, around 50% on self-help to drive market share gains and around 25% from a recovery in underlying markets, they say. "To be more positive we need to see delivery of the less clearly achievable drivers," they say. (michael.susin@wsj.com)
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Lloyds Banking Seen Posting Better Net Interest Income, Larger Buyback in 2023
0849 GMT - Lloyds Banking Group is seen scaling up its share buybacks and posting better-than-expected net interest income in 2023, says Jefferies in a note. On the British bank's NII, "we continue to be 3-8% ahead of consensus, as street fails to appreciate the mechanical uplift from the structural hedge (...) offsetting the mortgage churn and back-book roll-off," says analyst Joseph Dickerson. As variable pension contributions fall away and free around GBP1.2 billion of capital per year, and with the bank's increased capital generation target, Lloyds is likely to raise the scale of its buybacks, the analyst adds. Jefferies, which rates the stock buy, estimates a GBP3 billion program in 2023, GBP2.5 billion in 2024 and GBP2.0 billion in 2025. (elena.vardon@wsj.com)
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Risks Remain for Cleantech Lithium in Chile; Rubber Stamp Still Needed
0839 GMT - Legal opinions and discussions with officials have reassured Cleantech Lithium that majority-state participation in its assets will not be required under Chile's new national lithium strategy--but an official government communication is needed before ruling it out, Canaccord Genuity says in a note. The Chile-focused lithium explorer plans to submit its special lithium operation contract application after concluding discussions regarding minority participation of state entities in its projects, Canaccord analysts say. "We also note that several other questions are outstanding, including the structure of state participation, any changes to fiscal terms and timing," the Canadian investment bank says. Canaccord maintains its speculative buy rating and 280-pence price target. Shares at down 9.3% at 44.0 pence. (joseph.hoppe@wsj.com)
Contact: London NewsPlus, Dow Jones Newswires;
(END) Dow Jones Newswires
04-24-23 0652ET
