Here are three things you need to know in the financial markets this morning from investment writer, Tony Cross.
#1. Ryanair sees 128% increase in passenger numbers
Ryanair [LON:RYA] has published half year results this morning, covering the six months to 30th September. Despite a 128% increase in passenger numbers, a EUR48m loss has been recorded although with a cash balance in excess of EUR 4 billion, this should placate investors. The airline notes that its recovery post-COVID is a rapid one although a challenging winter still lies ahead.
#2. Shoe Zone ups pre-tax profit expectations
Shoe Zone LON:SHOE has provided a further update off the back of its full year trading statement from a few weeks ago, noting that pre-tax profits are now expected to be in the £9m-£10m range. Underlying trading has been better than previously forecast, but just as critically a £1.5m one-off pension contribution won’t need to be recognised in this year’s accounts. Favourable currency exchange movements have further bolstered the outlook with audited results expected in January.
#3. Harland & Wolff aims to achieve a cash break-even by the end of the current full year
Harland & Wolff Group LON:HARL, the infrastructure and ship building company, has published interim results for the 12 months to July 31st as it works through an extended 17-month trading period ahead of a change in the accounting reference date. Off revenues of £10.2m, the company posted a £12.1m loss although the board are confident that they can achieve a cash break-even by the end of the current FY and will be EBITDA positive in 2022. There’s certainly big ambition too with the CEO noting that if the company can be utilising 80% of its capacity, it has the potential to generate revenues of £500m – that’s a big ask, but the government’s post-Brexit agenda may give an advantage.
