AIM-listed Touchstar issued full year results this morning which served to push the stock towards the bottom of the board, despite revenue and profit growth both being noted. A final dividend was also declared and a modest share buyback announced but volumes have been thin in early trade and that appears to be taking a toll. An hour in and the stock was around 10% lower.
Fast fashion retailer ASOS published interim results this morning and the market appeared willing to take a glass half full view here. Interest and admin costs remained stubbornly high whilst revenues and margins both fell as the business looks to pivot to a more profitable position. However, investors appeared to find confidence in the outlook with progress being made when it comes to shifting unsold stock. Completing the turn around will still take time but the shares were up by more than 10% in early trade although by 9.30am gains had moderated a little.
First quarter production results from Rio Tinto were released this morning, helping lend some support although the company was still left underperforming industry peers. The sector is having something of a renaissance right now with a range of economic and political factors seen as driving demand but lower than expected iron ore production from Rio left the stock adding 3.3% in early trade, trailing the likes of Anglo American up 3.8% and Fresnillo, which was 4.2% higher at copy time.
Headlines we expect to see on Thursday
Dunelm Trading update
This time last year Q3 Sales £423m, Digital sales 36%
Rentokil Initial Trading update
This time last year Q1 Revenue £1,240m (constant exchange rate), 15 bolt n acquisitions completed in Q1 FY23
