Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. Smurfit Kappa full year results show record balance sheet
Final results are out from Smurfit Kappa [LON:SKG], the packaging specialists. Revenues are up 27% and EBITDA margins have improved by 160 basis points, with management heralding the balance sheet metrics as being the strongest in the group’s history. That impressive set of stats comes despite falling volumes, where inflation was recognised as weighing on demand. Shareholders are set to be rewarded with a 12% increase in the final dividend.
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#2. Barratt Developments dividend to take 9% cut
Half year numbers are out from Barratt Developments LON:BDEV this morning, showing some pockets of strength but also flagging the challenging economic outlook. Revenues are up 24% from the six months to 31st Dec 2021, but margins are off by 170 basis points and the interim dividend is to be trimmed by almost 9%. Management do however note improved reservation activity over the last month and if this is sustained they expect to see between 16500 and 17000 reservations for the full year, slightly down from the 17908 posted to 30th June.
#3. PZ Cussons half year revenues rise with only limited volume impact
Interims from PZ Cussons LON:PZC showed a 6.1% uptick in adjusted half year revenues with only limited volume declines being reported. Higher tax rates have impacted EPS on an adjusted basis but it seems as if there’s plenty to like in these numbers as the company navigates the difficult consumer environment. Further efficiency savings are planned and the interim dividend is being maintained at 2.67p.
