Less than a decade ago, the IT outsourcer Capita was a mainstay of the FTSE-100 but in recent years the company has had a torrid time. Some respite for shareholders this morning however after the business announced it had disposed of its Capita One software division for £207m plus a dividend of approximately £5m. Given the company’s market cap wasn’t much above that last night, the 21% uptick in the share price this morning is arguably warranted. Cash raised will be used to pay down debt and strengthen the overall financial position.
A Q2 trading update from recruitment specialists Page Group rocked the company’s stock this morning. Weaker than expected trading conditions in June have resulted in management taking a more cautious view for the second half and the forecast is for operating profits to come in around the £60m mark, down close on 50% on the FY23 figure. Shares sat 10% lower just over an hour into the session.
The oil giant published its second quarter trading update this morning, noting that weaker margins on its refining business and asset valuation write downs would take a toll on earnings when these are published at the end of the month. This is a trend that is being seen across the wider industry, although rising underlying oil prices ought to be providing a degree of insulation. Shares were left propping up the FTSE-100 this morning, off around 3% in early trade.
Headlines we expect on Wednesday
Barratt Developments Full Year Trading Update
This time last year Completions 17,206, Order book 8,995 homes, Average selling price £320k
