Three things you need to know in the financial markets this morning from investment writer, Tony Cross
Mitie Group
Facilities managers Mitie Group have published a pre-close trading statement today ahead of full year results and there appears to be little cause for concern. Revenue growth is tipped to rise by 7% or so, whilst debts are falling and the company expects to remain comfortably within its banking covenants. The company has taken a conscious decision to back away from low-value contracts and whilst this brings with it some one-off costs, it ought to prove positive for shareholders in the longer term.
Meggitt
Specialist engineering group Meggitt has announced a contract win, worth up to $37million this morning. The deal is with General Dynamics Land Systems, but will ultimately see the company providing technology for US Army Abrams tanks.
Dignity
The Competition and Markets Authority has this morning announced it is to investigate the funerals sector in the UK, largely over pricing. Dignity, the UK’s biggest funeral operator which is listed on the stock market, revised its pricing a year ago and shares fell sharply as a result. Today’s news could well serve to justify its new strategy.
