Three things you need to know in the financial markets this morning from investment writer, Tony Cross.
John Wood Group
There’s a six-month trading update out from John Wood Group [LON:WG] which offers an interesting insight given the impact of both COVID-19 and the rampant volatility of oil prices. First half revenues are set to be down around 11% which the company points out is testament to their diversified service offering and also the resilience of the market. Market uncertainty is impacting forward sales but cost savings initiatives are being pursued to ensure that the business can bolster margins in the second half.
Staffline [LON:STAF] has published a note this morning in response to the fact its share price has jumped over 60% this week. The company notes that it has no explanation for the move and it has successfully applied to delay its full year results filings as it needs more time to work through the implications of the COVID-19 crisis. Current expectations are that a small loss will be posted for the full year.
Oxford Biomedica [LON:OXB] announced a placing yesterday and perhaps unsurprisingly given the current appetite for both cash calls and the biotech sector in general, this was fully subscribed. Some £40m has been raised, equivalent to 6.5% of the issued share capital at a discount of 3.5% on last night’s closing price. There’s perhaps nothing to see here, other that the idea that there’s no shortage of investors looking for opportunities despite the uncertain economic backdrop.
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