The global hoteliers published a Q3 trading update today that presented something of a mixed bag. Momentum does appear to be slowing with RevPAR – the average revenue per available room – growing at just 1.5% on a group wide basis. The EMEAA territories are outperforming but tough comparatives have seen sales in the China market slump and the note also highlights that the group will soon lose the marketing rights to a flagship property in Las Vegas. Full year performance remains on track and new rooms are being opened apace but that headline room rate weakness has spooked some investors. The IHG Share price was down by as much as 2.5% at the open although recovered some of the losses in early trade.
The precision engineering firm Hunting published a Q3 trading update this morning. Despite a 16% increase in EBITDA against the same period a year ago, the recent decline in oil prices and weakness in US natural gas have combined to impact sentiment. That’s resulted in full year EBITDA forecasts being lowered to $123-$126m, down from the previously stated $134m-$138m. Shares in Hunting are down 16% in early trade.
Construction services group Morgan Sindall published a trading update this morning, noting that since its last update in August and following material profit growth ahead of expectations from the Fit Out division, full year results for 2024 are now set to come in significantly ahead of previous expectations. All divisions seem to be faring well and the order book at 30th September was £8.9bn, up 3% from the half year position and in line with the 2023 year end. The Morgan Sindall share price is up just over 10% approaching 9am.
Headlines we expect on Wednesday
Barratt Redrow Trading Update
This time last year (Barratt IMS) Private forward sales up 47%
Lloyds Banking Group 9 month IMS
This time last year Post-tax profit £4.3bn, Net interest income £10.4bn, Impairments £0.8bn, RoTE 16.6%
