Three things you need to know in the financial markets this morning from investment writer, Tony Cross
Infrastructure solutions provider Costain has published a trading update today. The first half performance has been in line with expectations, but the company does caution that it has seen some delays to contract start dates and one project has been cancelled. This will have a negative impact on profit projections for the full year although looking further ahead, the 2020 order book is already looking strong, with margins set to be higher, too. Whether this is sufficient to offset investor concern over the shorter term remains to be seen.
Keeping with infrastructure, John Laing has also published a pre-close trading update. Headlines are typically in line with the previously stated three year guidance, but the investment portfolio’s performance seems to be giving some cause for concern. The full extent of this is still being calculated and will be stated in the interims. The outlook for the year as a whole however remains unchanged.
Ofcom has published some new guidance for companies involved in rolling out high speed communications lines for large businesses. They’re being brought into line with the rules governing residential and small businesses regarding access to the BT Openreach network in a move that stands to reduce cost. It’s got the potential to serve up another blow for the BT share price however – one to watch as the market opens.