What to expect from a selection of FTSE 100, FTSE 250 and selected other companies reporting next week:
- Will high oil prices dampen Carnival parade?
- AG Barr's margins set to remain under pressure
- ASOS set to prioritise profitability over growth
Among those currently scheduled to release results next week:
*Events on which we will be updating investors.
| 25-Sept | |
|---|---|
| No FTSE 350 Reporters | |
| 26-Sept | |
|---|---|
| AG Barr* | Half Year Results |
| ASOS* | Trading Statement |
| Close Brothers Group | Full Year Results |
| PZ Cussons | Full Year Results |
| Smiths Group | Full Year Results |
| 27-Sept | |
|---|---|
| No FTSE 350 Reporters | |
| 28-Sept | |
|---|---|
| Bluefield Solar Income Fund | Full Year Results |
| Ceres Power Holdings | Half Year Results |
| 29-Sep | |
|---|---|
| Carnival* | Q3 Results |
*Events on which we will be updating investors
AG Barr – Aarin Chiekrie, Equity Analyst
Long-standing CEO, Roger White, announced his retirement back in August, after more than 20 years at the helm. A change at the top is always a leap into the unknown so we’ll be keen to see if next week’s results provide any updates in the search for his successor.
We’re expecting the IRN-BRU maker’s half-year revenue to climb up to around £210m. That would represent growth of around 10% on a like-for-like basis, as consumers look to have stomached recent price hikes well. Profits are set to grow at a slower rate though, with heavy investment in production facilities continuing. This will hurt margins in the short term, but should help to sweeten margins over the medium term as increased efficiencies boost profitability.
And last we heard, a healthy net cash position was underpinning Barr’s investment phase. We’re keen to see just how quickly the group’s burning through cash, with any significant drop likely taking further acquisitions off the table in the near term.
See the AG Barr share price, charts and our latest view
ASOS – Aarin Chiekrie, Equity Analyst
ASOS has had a rough ride lately. With net debt and cash flows both rising earlier this year, it had to resort to raising around £80m of new funds by issuing new equity shares. This isn’t usually a good sign, as it waters down existing shareholders’ stake in the company. However, the cash injection has provided some wiggle room to execute the ongoing transformation, so we’ll be looking out for early signs that it’s bearing fruit in next week’s trading update.
With revenue declining at double-digit rates in the third quarter, profitability rather than growth is now the order of the day at ASOS. Resources are being reallocated away from the US, where extensive investment has so far yielded weak results. Costs are getting stripped back too, with the group on track to hit its cost-saving target of £300m last we heard. These actions should stem the financial bleeding to some degree, and we’ll be keeping a close eye for more guidance on where full-year profits are expected to land.
See the ASOS share price, charts and our latest view
Carnival – Derren Nathan, Head of Equity Research
Carnival entered the peak cruising season with strong levels of bookings and every sign that momentum was continuing on the right course. We’ll be looking to see if that resilience is holding up and to what extent a two-day closure of the website earlier this month has impacted future sailings. On the cost side, inflation has been proving more difficult to manage than first thought so investors will be keen to hear how the group’s going to navigate this moving forward. Carnival’s expecting to spend around $1.9bn on refuelling its gas-guzzling ocean liners this year, so the recent spike in the oil price will likely be in the spotlight.
Debt levels are still higher than we’d like to see in the wake of COVID-19, and forecasts suggest that net debt has crept back over $30bn in the quarter just gone. With that in mind, we’re not expecting dividends to be back on the captain’s table any time soon.
See the Carnival share price, charts and our latest view
Unless otherwise stated estimates are a consensus of analyst forecasts provided by Refinitiv. These estimates are not a reliable indicator of future performance. Past performance is not a guide to the future. Investments rise and fall in value so investors could make a loss.
This article is not advice or a recommendation to buy, sell or hold any investment. No view is given on the present or future value or price of any investment, and investors should form their own view on any proposed investment. This article has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is considered a marketing communication. Non-independent research is not subject to FCA rules prohibiting dealing ahead of research, however HL has put controls in place (including dealing restrictions, physical and information barriers) to manage potential conflicts of interest presented by such dealing. Please see our full non-independent research disclosure for more information.