Three things you need to know in the financial markets today from investment writer, Tony Cross.
#1. Virgin Money: unsecured lending ticks higher, is consumer confidence recovering?
Virgin Money LON:VMUK has issued a Q1 trading update this morning, noting a positive start to the year with a number of key metrics being as previously forecast. Unsecured lending increased, which could in turn say something more about consumer confidence levels in the wider economy and the focus here was on existing customers, rather than tapping a new audience. Impairment charges do appear to be down from levels seen in FY23.
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#2. Beeks FY25 now set to be significantly ahead of expectations
Beeks Financial Cloud Group has updated the market this morning with news of significant contract wins and a trading statement. As a result, the company now expects FY25 to be significantly ahead of previous expectations. On top of this, FY24 numbers remain in line. The CEO added that he saw considerable expansion potential across customers as they migrate more of their trading infrastructure to the cloud.
#3. Renishaw: headwinds in play, diversification helping
Manufacturing play Renishaw LON:RSW provided interim results today for the six months to 30th December. Revenues were 5% lower with a consequent impact on profitability, too. Margins are also down but management say they expect to see an improvement in trading during H2.
The business does have some useful diversification in play, which means that the slowdown in semiconductor demand has been offset by demand for Metrology products. Full year revenues are now forecast to be between £675m and £715m, with adjusted pre tax profits of £122m-£147m.
