Three things you need to know in the financial markets this morning from investment writer, Tony Cross
Home builder Bellway has published a trading update this morning ahead of full year results in October. Good news in terms of it completing more houses – the company has broken through the 10,000 level for the first time ever – but contrary to government hopes, growing supply is doing nothing to suppress prices. Revenues are up 16% whilst completions are up just under 7%. There’s still work to be done here if the market is to become more affordable.
Paddy Power Betfair
Half year numbers from Paddy Power Betfair are out this morning, with both revenues, earnings per share and dividends all on the rise. The World Cup gave the company a boost – and presumably the fact England didn’t win the tournament will have helped, too. Overseas ventures should ensure that the World Cup effect doesn’t deliver too much of a spike and there’s an interesting line in the statement with the company welcoming government intervention over fixed odds betting terminals, noting that negative sentiment was undermining the industry as a whole.
There’s also a half year update from Hastings Group Holdings, the insurer. All the key metrics are again ticking higher – such as live customer policies, operating profit, gross premiums etc. However it’s also worth noting that the claims inflation outlook has also been revised towards the upper end of the 3%-5% range, as a result of various factors including bad weather at the start of the year.