Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. Bumper divi increase for Pennon shareholders
Full year results are out from Pennon [LON:PNN]. Underlying revenues are up 4.1% with management noting its commitment to keeping consumer bills low as being reflected in this below inflation uptick. The water industry has been in the firing line of late to clean up its act and Pennon is quick to say that pollution incidents are down by 50% from 2020, that it has installed storm overflow monitors across its network a year earlier than mandated and that 99% of bathing waters in its region have been rated good or excellent quality. The inflation-busting 11% increase in dividend payments is however likely to attract criticism given the costs for cleaning up will almost inevitably be met by consumers, not shareholders.
- Companies Reporting: easyJet, Pets at Home, Halfords, Pennon
- Broker Tips: JD Sports Fashion, ITM Power, Dunelm
- Three Quick Facts: IHG, Scancell, ITM Power
#2. Trading update puts ITM Power in slightly stronger place
There’s a trading update out from ITM Power [LON:ITM] noting that revenues are ahead of guidance, the EBITDA loss is within range and the cash position is stronger than had been expected. The detail beyond this may be lacking, but will this placate investors ahead of the final results which are due at the end of July?
#3. Dr Martens revenues break £1bn for first time
Iconic footwear manufacturer Dr Martens [LON:DOCS] has final results out today. Revenues broke above £1bn for the first time but on other metrics the numbers look lacking. Management note some strategic errors having been made in its US division, but there’s still scope to pay an increased dividend.
