Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. Hornby: macroeconomic headwinds unlikely to derail Hornby
Full steam ahead at Hornby LON:HRN who released an AGM trading statement noting that performance was on track, with sales and margins from April to August in line with the previous year. Full year numbers will be reliant on Christmas sales, but the company notes that its outstanding order book is stronger than it was 12 months ago. Whilst macroeconomic conditions may cause headwinds, the company notes that given historic performances of the hobby industry during downturns, full year expectations remain unchanged.
#2. Itaconix: record H1 revenues
Plant-based polymers company Itaconix LON:ITX has released interim results for the six months to 30th June. Record half year revenues have been posted, in turn translating into good profit growth and reflecting increased market share for the company. Existing customers of the company are expanding their distribution networks and the company is on course to deliver full year revenues ahead of current expectations.
#3. ITM Power revenues climbing but CEO to go
Green energy play ITM Power LON:ITM has published full year results today. Despite the desperate need for global reliance on fossil fuels to be reduced, the company’s share price has had a rough ride. Order backlogs are up and so are revenues, but losses have ballooned and delayed recognition of some sales is skewing the picture here, too. For the year ahead, revenues are expected to improve sharply, but will still be eclipsed by the cash burn rate and in a separate statement the company advised that the CEO would be stepping down once a replacement is found.
