Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. Reckitt Benckiser margin guidance remains unchanged
Foreign currency headwinds took a toll on Reckitt Benckiser LON:RKT who this morning reported Q3 results. Like for like sales were up 3.3% but on a reported basis fell almost 7%. The company is targeting mid-single digit revenue growth but notes that for the current FY this is likely to be in the 1%-3% range. However despite widely reported cost pressures, pricing and productivity gains mean that margin guidance remains unchanged.
#2. Whitbread recovery is comprehensively outperforming the market
Interim results are out from Whitbread LON:WTB this morning covering the six months to 26th August, noting that the company’s recovery is comprehensively outperforming the market with UK sales 12.3% ahead of the sector over the period. Comparing against the pre-pandemic performance, the company’s bounce back is again illustrated well, including highlights such as UK August 2021 sales advancing 10.5% from the 2019 figure. A strong balance sheet leaves Whitbread in a strong position and there’s confidence that supply chain and labour woes can be navigated, too.
#3. 88 Energy drilling in Alaska to start in February
Over to the AIM market where 88 Energy [LON:88E] has come out with an update over its work in Alaska. This relates to drilling which won’t take place until February next year. The stock often reacts in quite a marked fashion to news updates, even if any gains may lack longevity at times.
