Three key news stories unfolding as the UK stock market opens. Check out our companies reporting diary for upcoming results from FTSE 350 and selected international stocks.
1. STV eyes improved summer performance from World Cup
Scottish broadcaster STV [LON:STVG] issued a Q1 trading update this morning noting that digital had helped support advertising sales which fell by less than had been expected, and advising that Q2 would be materially better as a result of the football World Cup. Whilst that respite is set to be temporary with the wider backdrop remaining challenging, management add that deployment of AI tools into advertising is showing encouraging early signs.
2. Low inventory costs boost H1 profitability at Raspberry Pi
The low cost computer manufacturer Raspberry Pi [LON:RPI] issued a half year trading update this morning, noting that trading in the first half of the year had been strong with profitability materially ahead of the comparatives. Despite memory price increases, demand has remained strong although the note cautions of a more challenging second half as the inventory procured at lower prices is depleted.
3. Deal agreed for acquisition of Evoke by Bally’s
Gambling operator Evoke [LON:EVOK] is set to be bought out by peer Bally’s Intralot in an all-share acquisition. The company has been undergoing a strategic review for the last six months so the agreement reflects a premium of 138% to the share price ahead of the review process being announced, although the uplift is closer to 25% above Thursday evening’s price. Shareholders can also opt for a 52p per share cash offer.
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In case you missed it
Today we start with a report on Mitie Group following an update that saw strong double-digit growth in revenue, operating profit and free cash flow. Can its strong pipeline convert into sustained organic growth?
We take a first look at Canadian junior miner, Falco Resources which is well-placed to deliver significant returns as it advances toward production of gold, copper and zinc. Stuart will be following their progress.