Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. London Stock Exchange dividend up as momentum gains
Full year results from the London Stock Exchange LON:LSEG this morning showed modest progress, with revenues up by less than 1% although a keen eye on costs and the delivery of synergies did have a slightly more impressive outcome on profits. This is the first year of numbers since the Refinitiv acquisition, which has allowed the company to establish its position as a leading global data business and notes that it carries good momentum into 2022. A 27% increase in full year dividend is being declared, underlining this confidence going forward.
#2. ITV full year profits up 46%
Broadcaster ITV LON:ITV has published a strong set of full year results this morning, with total revenues rising by 24% and operating profit adding 46%. The note states the company has emerged from COVID stronger and more flexible and is now looking to double digital revenues to £750m by 2026. A final dividend of 3.3p per share is being proposed, but the board is also committing to paying at least 5p per share thereafter.
#3. N. Brown sees challenging year ahead as inflation pressures mount
Clothing retailer N. Brown LON:BWNG has a trading update out for the 53 weeks to 26th February. Revenues are up 9% year on year, whilst active customer numbers have increased by 3%, too, putting key financial metrics comfortably within the previously issued guidance. Inflationary pressures however mean that expectations for revenues in the coming year will show limited scope for growth, before macroeconomic headwinds recede, allowing expansion to resume. Whilst gross margins are expected to improve as the company responds to inflation, the prospect of stagnant headline figures may leave investors underwhelmed.
