UK Short-Dated Gilt Supply in 2Q Expected to Peak in April

UK Short-Dated Gilt Supply in 2Q Expected to Peak in April

1227 GMT - U.K. short-dated gilt supply in 2Q 2023 is projected to peak in April at around GBP10.2 billion, factoring in supply from the Bank of England and the U.K. Debt Management Office, says Bank of America rates strategist Agne Stengeryte in a note. The issuance of gilts by the DMO is estimated to rise to nearly GBP62 billion in 2Q 2023, roughly GBP8 billion increase from the previous quarter. The biggest proportion of DMO gilt supply will be in short-dated gilts, followed by medium dated and long-dated gilts, she says. The share of short-dated gilt supply could rise further in FY2023-24 if the unallocated GBP12 billion DMO gilt supply is put in the short-maturity bucket, BofA says. (miriam.mukuru@wsj.com)

COMPANIES NEWS:

Mirriad Advertising Says Numerous Companies Have Made Offers Since Start of Review

Mirriad Advertising PLC said Wednesday that a number of parties have entered early-stage discussions over a potential investment or acquisition of the company since the launch of the strategic review and formal sale process.

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Michelmersh Brick 2022 Pretax Profit Rose on Price Increases

Michelmersh Brick Holdings PLC on Wednesday posted a rise in its revenue and profit for 2022 on the back of two price increases to offset higher input costs.

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Richemont's YNAP Deal With Farfetch Gets Nod From UK Watchdog

Compagnie Financiere Richemont SA's sale of a stake in online platform Yoox Net-A-Porter to Farfetch Ltd. has been cleared by the U.K. competition regulator, paving the way for the deal to go ahead later this year.

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tinyBuild COO Luke Burtis Resigns; 2022 Pretax Profit, Revenue Rose

TinyBuild Inc. said Wednesday that Chief Operating Officer Luke Burtis resigned with immediate effect, and that 2022 pretax profit rose as revenue benefited from the performance of new titles and back catalogue sales.

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Next PLC Backs FY 2024 Guidance After FY 2023 Pretax Profit Beat Views

Next PLC said on Wednesday that pretax profit for fiscal 2023 rose ahead of the board's expectations and backed its guidance for fiscal 2024 as it anticipates inflation will ease.

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Up Global 1H Pretax Fall on Higher Interest Rates and Impairment Charge

Up Global Sourcing Holdings PLC said Wednesday that pretax profit fell in the first half of fiscal 2023 due to the increase in interest rates and an impairment charge, despite revenue rising driven by online sales.

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LoopUp Group Says 2022 Revenue Beat Views After PGi Connect Transaction

LoopUp Group PLC said Wednesday that it expects to report 2022 revenue ahead of market expectations, boosted in the fourth quarter by its transaction with PGi Connect.

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Artisanal Spirits 2022 Pretax Loss Narrowed on Better-Than-Expected Revenue

Artisanal Spirits Co. said Wednesday that pretax loss for 2022 narrowed on the back of better-than-expected revenue increase across its markets.

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BSF Enterprise Raises GBP2.9 Mln to Fund Organic Growth

BSF Enterprise PLC said Wednesday that it has raised 2.9 million pounds ($3.6 million) via an oversubscribed share placing and will use the money toward organic growth and for working capital.

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One Media IP Fiscal 2022 Profit Fell on Investment in Subsidiary

One Media iP Group PLC said Wednesday that revenue rose for fiscal 2022 but that profit fell as it continued to invest into its anti-piracy software subsidiary TCAT.

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Essentra 2022 Pretax Loss Widened; Launches GBP60M Buyback

Essentra PLC on Wednesday said its pretax loss widened in 2022 and launched a share buyback from the proceeds of the disposal of its filter and packaging divisions.

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Big Technologies 2022 Profit Rose Amid Growing Demand

Big Technologies PLC said Wednesday that pretax profit rose for 2022 as it saw growing demand, new contract wins and deployment of a record number of new electronic monitoring devices to customers in the criminal justice sector.

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RM PLC Swung to FY 2022 Pretax Loss on Higher Costs

RM PLC said Wednesday said that it swung to a pretax loss in fiscal 2022 due to higher costs, despite revenue rising on strong growth in its RM assessment unit.

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Medica 2022 Pretax Profit Rise On Increasing Revenue, Gross Profits

Medica Group PLC said Wednesday that its pretax profit increased thanks to rising revenue and gross profits, and that it has declared a final dividend.

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Aeorema Communications Books Record 1H Revenue, Profit Following Continued Growth

Aeorema Communications PLC said Wednesday that revenue and pretax profit reached record levels for the first half of fiscal 2023 after it booked continued growth and major investment.

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Strix Group 2022 Pretax Profit Fell as Revenue Hurt by Market Environment

Strix Group PLC said Wednesday that 2022 pretax profit fell as revenue decreased due to a fall in its Kettle Controls business due to the market environment.

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Faron Pharmaceuticals Taps James O'Brien as CFO

Faron Pharmaceuticals Oyj said Wednesday that it has named James O'Brien as new chief financial officer, effective April 3.

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Michelmersh Brick Launches GBP2.8 Mln Buyback

Michelmersh Brick Holdings PLC on Wednesday launched a 2.8 million-pound ($3.5 million) share buyback, restarting a program first announced in November which has lapsed.

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Panthera Resources to Raise GBP1 Mln to Fund India, West Africa Activities

Panthera Resources PLC said Wednesday that it is seeking to raise 1 million pounds ($1.2 million) via a share placing and subscription, and will use the money toward its activities in India and West Africa and for working capital.

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Carr's Group Shares Slip as Trading Resumes After Fiscal 2022 Earnings Report

Shares of Carr's Group PLC fell 3.7% on Wednesday as the company resumed trading after reporting fiscal 2022 earnings.

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Surgical Innovations 2022 Pretax Loss Narrowed as Sales Recovered

Surgical Innovations Group PLC said Wednesday that 2022 pretax loss narrowed as sales recovered and exceeded prepandemic levels with the backlog of patients requiring treatment in the U.K. continuing to increase.

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Broadcom's Planned $61B Acquisition of VMware to Get Further Probe by UK Regulator

The U.K. Competition and Markets Authority said Wednesday that it will now refer Broadcom Inc.'s planned $61 billion acquisition of VMware Inc for a further review after being notified that Broadcom won't be offering any undertakings to satisfy its concerns over the deal.

MARKET TALK:

Strix's Kettle Controls Unit to See Short-Term Rebound Before Decline

1154 GMT - Although Strix Group reported an 11% fall in 2022 revenue due to lower kettle control volumes, these are expected to rebound over the next couple of years, consistent with previous cycles, Shore Capital analyst Tom Fraine says in a note. Despite seeing an initial recovery in 2023 and 2024, gross profit from kettle controls will decline by about 1% to 2% on average over the long term as it has in the past, Fraine says. "We believe a single-digit price-to-earnings ratio may be warranted, given the level of debt and limited scope for EPS growth beyond an initial recovery over the next couple of years," he says. Shore rates the stock hold. (anthony.orunagoriainoff@dowjones.com)

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UK Recession Might Be Only Cure for High Inflation

1100 GMT - A recession in the U.K. may be needed to curb the country's high inflation, Paul Dales, chief U.K. economist at Capital Economics says in a note. A downturn involving a peak-to-trough fall in real GDP of around 1.0% would be required to ensure that domestic price pressures weaken to levels consistent with the Bank of England's 2.0% inflation target, Dales says. While some weakness could result from recent concerns over the health of global banks, most will have to be generated by interest rates staying at 4.25% or above all this year, he says. If that cuts inflation significantly, the Bank of England could then slash rates to around 3.0% next year, he adds. (edward.frankl@wsj.com)

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(END) Dow Jones Newswires

March 29, 2023 09:26 ET (13:26 GMT)

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