Three key news stories unfolding as the UK stock market opens. Check out our companies reporting diary for upcoming results from FTSE 350 and selected international stocks.
1. SAGA underlying pre-tax profit beats guidance
Product specialists for the over 50’s SAGA LON:SAGA have issued full year results this morning with underlying revenues up 5% and underlying pre tax profit up 25% which was ahead of guidance. The strength of the travel business is seen as being behind the move here whilst the agreed sale of the company’s underwriting business has also played a strategic role in refocusing the business. Following this strategic shift, the company is now looking to grow underlying profit to at least £100m and leverage below 2x EBITDA in the next five years.
2. Assura reject PHP offer terms
Healthcare property play Assura LON:AGR has this morning issued a note saying management have universally knocked back the revised offer tabled by PHP in its attempt to buy out the company. Given recent market volatility, will this be looking like an ill-advised move that also stands to push the company into the arms of private equity suitors?
3. Downbeat Q1 from PageGroup
Recruiters PageGroup LON:PAGE issued a Q1 update today highlighting an increasingly uncertain outlook for the business and noting a cost reduction program being put in place to save £15m a year. This continues the trend from Q4’s weaker trading period. Gross profits were off 11.7% on a reported basis and the company is keen to stress its cash position remains strong, but the economic backdrop remains weak which is extending the hiring cycle. Temp recruitment isn’t faring quite as badly as permanent but even there its difficult to find something to cheer.
