Three things you need to know in the financial markets this morning from investment writer, Tony Cross
September traffic figures have been published by Ryanair this morning showing a punchy 11% increase from the same period last year, although the acquisition of Austria’s Lauda airline accounts for just over half of that uplift.
However two strikes by pilots and cabin crew saw over 400 flights cancelled during the month and as we saw with yesterday’s profit warning, industrial action and the rising price of oil are both taking a toll on the airline.
- Ryanair shares: will pilot strikes damage profits?
- Airline stocks hit by Ryanair results
- Airline shares and the new runway at Heathrow
Meggit, the aerospace components company, has this morning notified the market of a multi-year agreement it has reached with the US Defence Logistics Agency.
The contract is worth $323 million and involves the supply of spare parts for US military helicopters and fighter jets. It replaces a previous deal which expired at the end of last month, but will presumably be seen as testament to the company’s expertise in this area.
Full year results are out from sofa retailers ScS this morning and again it shows some hope for a retail sector which has been blighted by a double whammy of rising costs and economic uncertainty.
Group sales have barely risen, but margin improvement is in evidence and earnings per share have risen by a healthy 14%. The company has been knocked by its exposure to House of Fraser, with concessions operating in many stores, but regardless, investors will still be rewarded with a 10% increase in the dividend.