Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. Russian write downs take toll for BP but cash still rolling in
Q1 numbers are out from BP LON:BP. this morning, with a significant loss being reported in the wake of exiting its Rosneft shareholding. However the company generated $4bn worth of surplus cash, paid down $27.5bn worth of debt and has announced a share buyback of a further $2.5bn to take place over the next quarter. The quarterly dividend is being maintained at 5.46c per share, but those write downs in relation to the Russian exit are unlikely to cut much slack with the popular press who will instead focus on the significantly better than forecast replacement cost profit which, at $6.25bn, comprehensively trounced expectations.
#2. Luton’s largest airline Wizz Air expands further
Monthly passenger numbers are out from Eastern Europe’s low cost airline Wizz Air LON:WIZZ this morning, which continues to gain altitude. The comparatives against 2021 remain flattering as global economies reopen, so rather than looking at the headline stats, the narrative over network growth is arguably more interesting. This includes news that the airline – the biggest carrier at Luton – has bought more slots at the airport to expand further, has launched a base at Cardiff and as load factors continue to increase, its CO2 emissions per passenger are tumbling, too.
#3. Mitie bags a bargain in mobile telco infrastrcuture
Facilities Management company Mitie LON:MTO has expanded its mobile telecoms capability with news that it has acquired 8point8, the mobile tower infrastructure specialist. This gives the company additional scope to deliver end-to-end services for the sector, where revenues are expected to grow sharply off the back of the 5G roll out. £10m is being paid for the acquisition, which on the face of it looks like exceptional value given the £6.2m worth of assets and £0.6m profit posted last year.
