Broker Upgrades and Downgrades & Key UK Corporate Snapshots 24 November 2015

UK Broker Upgrades / Downgrades

US Broker Upgrades / Downgrades

Key UK Corporate Snapshots Today

AO World Plc (AO..L) Announced, in its unaudited interim results for the six months ended 30 September 2015, that its reported revenue stood at £264.3 million, compared to £217.1 million in the preceding period. Loss net of tax was £6.7 million compared to profit after tax of £0.5 million. The company’s basic and diluted loss per share was 1.58p, compared to earnings per share 0.12p.

Babcock International Group Plc (BAB.L) Announced, in its half year report for six months ended 30 September 2015, that group revenue stood at £2,039.4 million, compared to £1,941.4 million in the same period last year. Group operating profit stood at £157.2 million, compared to £162.6 million. Profit after tax was £128.2 million, compared to £117.9 million. Diluted earnings per share stood at 24.6p, compared to 23.6p. An interim dividend of 6.05p per 60p ordinary share (2014: 5.5p per 60p ordinary share) was declared.

Cambria Automobiles Plc (CAMB.L) Announced, in its full year results ended 31 August 2015, that revenues jumped to £523.8 million from £450.0 million posted in the same period preceding year. The company’s profit before tax stood at £7.7 million, compared to a profit of £5.3 million reported in the previous year. The basic and diluted earnings per share stood at 6.03p compared to earnings of 4.15p reported in the previous year. The company’s board has proposed a final dividend of 0.6p per share (2014: 0.5p) subject to shareholders’ approval. The company separately announced that it has entered into a revised banking arrangement with Lloyds Banking Group to refinance the existing £14.4 million of term loans into one standardised facility of £15.0 million that has a 5 year term, and 15 year capital repayment profile.

Chamberlin Plc (CMH.L) Announced, in its half year results for the six months ended 30 September 2015, that revenue stood at £18.04 million, compared to £21.09 million in the same period last year. Operating loss stood at £0.26 million, compared to £0.46 million. Loss after tax was £0.36 million, compared to profit after tax of £0.20 million. The basic and diluted loss per share stood at 4.6p, compared to earnings per share of 2.64p. The directors declared an interim dividend of 13.1p per share.

Cineworld Group Plc (CINE.L) Announced, in its trading update for 46 week period ended 19 November 2015, that the strong first half performance continued its momentum in the second half as the 46 week period pro forma box office revenues increased by 10.8%. During the second half of the year, the company has continued to deliver its expansion plans and recently opened three new cinemas in the UK (Solihull NEC, Newport and Whiteley, with 28 screens in total). In CEE & Israel, in the second half, it opened four new cinemas in Romania (Constanta City Park, Deva, Severin and Suceava, with 30 screens in total), two in Poland (Lublin Felicity and Starogard, with 15 screens in total) and one 16 screen cinema in Jerusalem, Israel. It will open more three cinemas in the UK (Hinkley, Stoke-on-Trent and Crouch End with 19 screens in total) bringing the total number of multiplex cinemas opened during year to a record number of 19, with 160 screens in total. The company expects to have over 2,000 screens by the end of the year.

Circassia Pharmaceuticals Plc (CIR.L) Announced the positive outcome of the European Decentralised Procedure for the company’s fluticasone propionate pressurised metered dose inhaler (pMDI) generic equivalent of GlaxoSmithKline’s FLIXOTIDER pMDI for the prophylactic treatment of asthma.

Compass Group Plc (CPG.L) Announced, in its final results for the year ended 30 September 2015, that its revenue stood at £17.59 million, compared to £16.85 million in the preceding year. Profit after tax was £0.88 million compared to £0.87 million. The company’s diluted earnings per share was 52.2p, compared to 48.7p.

Drax Group Plc (DRX.L) Announced, in its trading update for the period from 1 July 2015 to date, that since publishing its half year results on 28 July, trading conditions in the markets in which the company operates have remained challenging, with further weakness in power prices. However, the company continues to benefit from good operational performance and, since July, has strengthened 2015 and 2016 hedges for power sales at prices significantly above the current market. These factors underpin the company’s expectations for the full year, which remain unchanged. The company has extended Power Sales contracted position, including additional power sales of 1.4TWh and 4.5TWh for 2015 and 2016 respectively, compared to the position reported in July. Biomass operations at the company continue in line with expectations. The Investment Contract for the third biomass unit conversion remains subject to EU State aid clearance. The company will announce full year results for the twelve months ending 31 December 2015 on 23 February 2016.

Greencore Group Plc (GNC.L) Announced that the copies of the 2015 Annual Report will shortly be available for inspection at www.hemscott.com/nsm.do and also on Greencore Group plc’s website, www.greencore.com.

Immunodiagnostic Systems Holdings Plc (IDH.L) Announced, in its interim results for the six month period ended 30 September 2015, that revenue stood at £19.35 million, compared to £22.11 million in the same period last year. Profit after tax was £1.18 million, compared to £2.25 million. Diluted earnings per share from continuing operations stood at 4.0p, compared to 7.6p.

Intertek Group Plc (ITRK.L) Announced, in its trading update for period from 1 July 2015 till date, that the group revenues rose by 2.8% to £1,780 million at actual exchange rates and 1.8% at constant currency rates. Constant currency organic revenue increased by 1.2%. The consumer goods division delivered a good organic growth performance driven by strong growth in Softlines and a solid performance in Hardlines. A good organic growth performance in the Commercial & Electrical division was driven by consistent and broad based growth in Electrical & Wireless, Building Products and Transportation Technology. The Chemicals & Pharma divisions’ continuing growth was driven by good global demand for health and beauty products testing as its clients invested in the development and the roll out of innovations to differentiate their brands.

Kingfisher Plc (KGF.L) Announced, in its third quarter results for the 13 weeks ended 31 October 2015, that sales was £2.7 billion, +2.6% LFL and retail profit of £223 million, up 0.4% in constant currencies. The company reported retail profit of £223 million impacted by £17 million adverse foreign exchange movements on the translation of non-sterling profits and around £5 million of additional store development activity in France and Poland compared to last year. The company completed this year’s £200 million share buyback (56 million shares).

Laird Plc (LRD.L) Announced that it has acquired LS Research (LSR), a leader in wireless product design and development, for a total cash consideration of $55.0 million, which will be funded from existing debt facilities.

Mitchells & Butlers Plc (MAB.L) Announced, in its full year results for the 52 weeks ended 26 September 2015, that revenue stood at £2,101 million, compared to £1,970 million in the same period last year. Operating profit stood at £270 million, compared to £264 million. Profit after tax was £103 million, compared to £93 million. Diluted earnings per share stood at 24.9p, compared to 22.5p.

Nostrum Oil & Gas Plc (NOG.L) Announced, in its financial and operational results in respect of the nine months ended 30 September 2015, that revenue stood at $374.8 million, compared to £620.3 million in the same period last year. EBITDA for the period was $202.9 million, compared to $413.2 million; EBITDA margin remains strong at 54.1%, compared to 66.6%. The group ended the nine month period with $213.6 million in cash, which includes $5.0 million of current investments (FY 2014: $400.4 million). GTU3 construction is progressing on time and on budget; completion expected before end of 2016. Average daily production for the nine month period was 44,042 boepd (9M 2014: 45,204 boepd). Term sheet signed on $200 million 2 year credit facility with VTB at Libor + 6.875%.

Paragon Group of Companies Plc (PAG.L) Announced, in its final results for the year ended 30 September 2015, that its net interest income stood at £197.4 million, compared to £179.4 million in the preceding year. Profit after tax was £107.1 million compared to £97.2 million. The company’s diluted earnings per share was 34.8p, compared to 31.1p.

Pets at Home Group Plc (PETS.L) Announced, in its interim results for the 28 week period ended 08 October 2015, that its reported revenue stood at £404.5 million, compared to £381.5 million in the preceding period. Profit after tax was £32.3 million compared to £35.8 million. The company’s diluted earnings per share was 6.4p, compared to 7.2p.

Renew Holdings Plc (RNWH.L) Announced, in its preliminary results for the year ended 30 September 2015, that revenue stood at £519.65 million, compared to £464.47 million in the same period last year. Operating profit stood at £16.83 million, compared to £13.38 million. Profit after tax was £13.17 million, compared to £10.34 million. Diluted earnings per share stood at 9.4p, compared to 8.3p. The board is proposing a final dividend of 4.75p per share, increasing the full year dividend by 40% to 7.0p (2014: 5.0p).

Rolls-Royce Holdings Plc (RR..L) Announced, in its operational update and operational review, that its strong portfolio of products and services provided a highly differentiated mission critical and power systems. It has good investment opportunities to strengthen its competitive advantage in key markets. In terms of business improvement, it has a complex business model with high embedded costs. It has many proposals to increase revenue segmentation, business by business gross margin and trading cash flow analysis. It needs a major restructuring to simplify the organisation, streamline its senior management, reduce fixed costs and add greater pace and accountability in decision making.

Scapa Group Plc (SCPA.L) Announced, in its half year results for six months ended 30 September 2015, that revenues rose to £119.3 million from £114.7 million posted in the same period preceding year. The company’s profit before tax stood at £3.3 million, compared to a profit of £6.2 million reported in the previous year. The basic earnings per share stood at 1.4p compared to earnings of 2.7p reported in the previous year. The board has not proposed any interim dividend for the period. The company’s cash and cash equivalents stood at £15.9 million (2014: £13.1 million).

Shaftesbury Plc (SHB.L) Announced, in its final results for year ended 30 September 2015, that revenues rose to £98.7 million from £91.2 million posted in the same period preceding year. The company’s profit before tax stood at £467.3 million, compared to a profit of £440.4 million reported in the previous year. The basic earnings per share stood at 168.0p compared to earnings of 165.2p reported in the previous year. The company further stated that the board has recommended a final dividend of 6.925p per share, amounting to £38.3 million.

Solid State Plc (SOLI.L) Announced, in its unaudited interim results for the six months to 30 September 2015, that revenue stood at £22.02 million, compared to £17.13 million in the same period last year. Operating profit stood at £1.55 million, compared to £1.58 million. Profit after tax was £1.51 million, compared to £1.38 million. Diluted earnings per share stood at 17.8p, compared to 16.2p. The directors are intending to pay an interim dividend for the year ended 31st March 2016 in February 2016 of 4.00p per share (2014: 4.00p).

Stellar Diamonds Plc (STEL.L) Announced, in its final results for the year ended 30 June 2015 and notice of AGM, that revenue stood at $0.61 million. Loss after tax was $3.05 million, compared to $4.1 million. Basic and diluted loss per share stood at $0.004, compared to $0.008. The Annual General Meeting will be held on 18 December 2015 at 10.00am at the offices of Daniel Stewart & Company Plc, 33 Creechurch Lane, London.

Tangent Communications Plc (TNG.L) Announced, in its half year results for six months ended 31 August 2015, that revenues rose marginally to £13.4 million from £13.3 million posted in the same period preceding year. The company’s profit before tax stood at £0.326 million, compared to a profit of £0.727 million reported in the previous year. The basic earnings per share stood at 0.10p compared to earnings of 0.15p reported in the previous year. The company’s cash and cash equivalents stood at £1.7 million (2014: £1.9 million).

Telecom Plus Plc (TEP.L) Announced, in its half year results for six months ended 30 September 2015, that revenues climbed to £294.0 million from £265.4 million posted in the same period preceding year. The company’s profit before tax stood at £15.2 million, compared to a profit of £14.5 million reported in the previous year. The basic earnings per share stood at 14.3p compared to earnings of 13.5p reported in the previous year. The company further stated that an interim dividend of 22.0p per share amounting to £17.5 million will be paid on 18 December 2015 to shareholders on the register at close of business on 4 December 2015.

UDG Healthcare Plc (UDG.L) Announced, in its final results for the year ended 30 September 2015, that its revenue stood at €919.27 million, compared to €764.23 million in the preceding year. Profit after tax was €41.79 million compared to €97.53 million. The company’s diluted earnings per share was 17.10c, compared to 40.06c.