Three things you need to know in the financial markets this morning from investment writer, Tony Cross.
IAG [LON:IAG], owner of British Airways, has published Q3 results this morning. This reinforces the key points released in the announcement last week, although provides a higher degree of granularity. Unsurprisingly it makes for bleak reading, but there are some high points including cargo revenues for the first nine months being 11% higher than it was a year ago. The company notes it has EUR5 billion cash, but that’s less than the operating loss accrued over the last nine months. With little visibility as to when the COVID-19 uncertainty will dissipate, no profit guidance for the full year is being provided.
As with peer Lloyds yesterday, NatWest [LON:NWG] has swung back to profitability with its Q3 numbers this morning, too. A significantly lower than expected bad debt provision has played a key role here, and this is expect to filter through to impairment charges for the full year being at the lower end of the £3.5bn-£4.5bn range previously stated.
De La Rue
Secure printers De La Rue [LON:DLAR] have issued a note this morning confirming that the Bank of England has extended its contract for banknote printing until 2028. From Q2 2017, shares in De La Rue have been in decline with the price taking a final beating off COVID-19 fears over whether contamination risks would mark the final demise of physical bank notes. That didn’t however prove to be the case – this news may provide some much needed added confidence for the company’s outlook.
Sign up for three quick facts and more with our Free Daily Digest newsletter, every weekday morning.