The Eastern European low cost airline Wizz air saw its share price tumble in early trade on Thursday in the wake of publishing its Q3 results. Whilst demand for air travel remained robust, as management noted the impact here didn’t flow through to profitability, with cost headwinds and adverse currency movements as a result of lease liabilities being calculated in US Dollars taking a toll. Booking momentum remains strong, but the timing of Easter, which this year will fall outside of Q4, will weigh at the year end. The Wizz Air share price is down more than 12% in the first hour of trade.
Q3 numbers from Airtel Africa were released today, with a raft of positive usage trends being observed. One challenge was however currency devaluations impacting some revenue metrics, but investors appeared happy to look beyond this, instead focusing on growing customer numbers and the fact the board has announced a further $100m share buyback. The Airtel Africa share price was up more than 10% shortly after the open.
Investment Trust Chrysalis published a quarterly NAV update and trading statement this morning, which appeared to cheer investors. The valuation per share rose by 11% over the three month period, helped by favourable forex movements and a buyback campaign. The trust is actively working to narrow the discount it trades at and management note the progress that continues to be made here. With a number of high profile and significant portfolio investments including Klarna and Starling Bank, there may be wider appeal here. Chrysalis Investments’ share price was up more than 8% shortly after 9am.
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