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UK stock market morning note (February 01, 2013)

The FTSE 100 is called to open slightly higher this morning as investors wait on the release of key UK and US economic data including domestic PMI manufacturing and US non-farm payrolls. Overnight we had the official Chinese manufacturing PMI figures out for January which was slightly lower than the previous month at 50.4, although just above the key 50 expansion level. Commodity prices are mixed and on the foreign exchanges, sterling is up slightly against the dollar but lower against the euro ahead of these key data releases.

Company Announcements

Tate & Lyle IMS reports that for the third quarter, adjusted PBT was broadly in line with its expectations before the impact of exchange rate movements. As expected, adjusted PBT was lower than the comparative period due to a step change in fixed costs associated with its business transformation initiatives. It added that it had made a solid start to the final quarter and despite facing a number of headwinds, and before the impact of exchange rate movements, it expects to make 'modest progress' this financial year. 

BT Q3 Results show adjusted EBITDA up 2% at GBP1.55bn with adjusted PBT ahead 7% at GBP675m on adjusted revenue 6% lower at GBP4.51bn. It added that it had made progress in a number of areas and these were 'solid' results, in line with its expectations for the year which remain unchanged.

Electrocomponents IMS reports that for the 4 months to end January 2013, underlying sales grew by around 1% with maintenance sales ahead by about 2% and electronics falling by around 1%. It noted that with its various cost actions, it continues to expect that H2 headline operating costs as a percentage of sales will be lower than H1.