Full year results from Computacenter were published this morning and despite achieving 19th year of growth to post record gross profits in excess of £1bn, the stock was one the biggest fallers in early trade. The company is sitting on a growing cash pile that has materialised as inventory was sold down and with no guidance forthcoming, investors appear to have elected to book profits. The stock trades meaningfully higher than it did a year ago, but an hour into Wednesday’s trade and losses are around the 7% mark.
The AIM listed biotech played a key role in the production of lateral flow test kits during the COVID pandemic and has today announced that an adaptation of this diagnostic technology to identify Iron and Vitamin D deficiencies will be sold via the Boots pharmacy network. Marketed under Boots’ own brand, the kits will be available in stores from the Spring. Shares jumped 25% in early trade although remain significantly below the IPO price from 4 years ago.
The engineering solutions company Versarien is one of the worst performers this morning, down by more than 20% in the wake of news it had completed a £615,000 placing. Shares are trading at 14p but with the new stock issued at 12.5p that suggests that some investors still see value at this level. Proceeds from the fundraising will be used to support the company through its turn around strategy.
Headlines we expect to see on Thursday
Next Final results
This time last year Total sales £5.1bn, Profit before tax £870m, FY dividends 206p
Pre-tax profit forecast increased to £905m in January trading statement
Hostelworld Final results
This time last year Net bookings 4.8m, average booking value €14.9, Operating loss €13.6m
The company continues to see trading normalise post-COVID with group bookings having been slow to recover
