The self-storage company Big Yellow published interim results after the close last night. However despite profit growth and an upbeat longer term outlook, investors were evidently left underwhelmed by the news and the shares have slipped back to six month lows shortly after Tuesday’s open. Revenues were up 4%, like for like occupancy rose by 1.9ppts and average rents achieved also increased by 4% but regardless of this the Big Yellow share price was down by more than 5% in early trade.
Full year results from Diploma out this morning, noting a 14% increase in revenues as a result of acquisitions as well as organic growth. Operating margins are improved and return on capital moved higher too, growing by 100bps to 19.1%. Dividends are up 5% and guidance for next year is bullish with revenues and margins again set for improvement. Again however it seems to be a case of investors being underwhelmed and using the news as a trigger for profit taking, with the Diploma share price down more than 4% by 9am.
The tobacco giant published its full year numbers this morning with revenue and market share growth both being reported. Investors are benefitting from a 4.5% increase in the dividend, losses from the company’s next generation products continue to fall and these trends are expected to continue for some time yet. This drive for sustainable growth has clearly impressed with the Imperial Brands share price adding more than 3% shortly after the open before giving back some of those gains as early trade progressed.
Headlines we expect tomorrow
Sage Group Final Results
This time last year Revenue £2,184m, Operating profit £315m, Dividend 19.3p
Rotork Trading update
This time last year Net cash £103m, order intake (first ten months) +10%
