Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. Bellway margins grow despite rising input prices
House builder Bellway [LON:BWY] has issued interim results this morning for the six months to 31st January. Revenues up 3.5% and a 150bps improvement in margins mean pre-tax profits have jumped 8.9%. Reservation rates also remained strong, advancing on the comparables for each of the last two years. These margin improvements are expected to be maintained for the full year and continued scaling of the operation means that expectations are for total home completions to grow by around 10% both in this year and the next.
#2. Bumper payouts as dividends resume for AG Barr
AG Barr [LON:BAG] has published final results for the year to end of January, with revenues up 18.3% and pre-tax profits up 26.5%. That’s resulting in the dividend being reinstated at a level of 12p per share plus a special 10p payout, significantly higher than the 4p paid in 2020. Growth of core brands is now above that seen in pre-COVID times and management add that they have good momentum as the new financial year gets underway.
#3. Five fold increase in profitability for challenger exchange Aquis
Full year results from Aquis Exchange [LON:AQX] are out this morning, with revenues up more than 40% and pre-tax profits coming in some five times higher than they were a year ago. Membership grew by around 20% and average monthly usage increased by 24% in terms of chargeable orders. The company notes that momentum has been continued into the new financial year and also today announces that it has completed the dual listing of shares on its own exchange.
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