|Bid||92.00 x 0|
|Ask||93.70 x 0|
|Day's range||92.00 - 94.00|
|52-week range||58.40 - 773.39|
|Beta (3Y monthly)||0.12|
|PE ratio (TTM)||N/A|
|Earnings date||19 Sep 2019|
|Forward dividend & yield||N/A (N/A)|
|1y target est||725.45|
G A Chester reviews an eventful Friday at Kier. Could it mark a turnaround for the stock or does the D-word make it a risk too far?
SMI down 0.4%, DAX down 0.1 * BAML starts coverage of airlines: IAG, Wizz, RyanAir, Air France top picks * Ferguson top gainer on FTSE 100 after profit beat * Greggs sinks more than 8% after trading update Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Thyagaraju Adinarayan. BAML analysts turn "overweight" on the sector saying the sector has been priced for an outright Euro area recession, which we think is unlikely.
Kier is working on infrastructure projects including HS2 and Crossrail. Photograph: HS2/PAKier Group, the embattled construction and services company, has warned of flat revenues this year due to Brexit uncertainty as it crashed to a £245m annual loss.The firm, which works on large infrastructure projects including Crossrail and HS2, is battling to avoid a repeat of the financial collapses that hit rivals Carillion and Interserve. The sudden failure of Carillion in January 2018 raised fears over the health of the wider outsourcing sector.Kier said it had set up a Brexit taskforce but confusion surrounding the UK’s departure from the EU could delay client decisions. It did not expect its revenue to increase in 2020, adding that Brexit could also disrupt operations, particularly in relation to materials, employees and the supply chain.The company slumped to a pretax loss of £245m in the year to 30 June, against a profit of £106m the year before. Revenues fell slightly to £4.5bn. Kier shares fell 14% in Thursday morning trading.Kier announced in June it was cutting 1,200 jobs in the UK from its 19,000-employee workforce – 650 this year – to help trim debts. It has also suspended dividend payments for this year and 2020.Andrew Davies, the chief executive, who took over in April, said: “Kier experienced a difficult year, resulting in a disappointing financial performance. However, we are building firm foundations for the future: we have a new management team in place, we have defined our strategic priorities and we are taking decisive actions to deliver them.”Sign up to the daily Business Today email or follow Guardian Business on Twitter at @BusinessDeskHe said the company had a strong order book and the sale of its homebuilding business, Kier Living, was progressing well. The company was also shutting or selling its recycling and rubbish-processing operations to focus on infrastructure, regional construction, utilities and road maintenance.Davies said: “The reshaping of the group is designed to reduce its overall indebtedness during 2020 and to restore Kier to robust financial health.”Kier’s chair, Philip Cox, is to retire and step down from the board once a successor has been appointed.
Shares in Kier Group slumped as much as 14% after the British contractor posted an annual loss, as a radical overhaul to cut debt and simplify its structure to dodge the problems that have toppled others in the industry pushed costs higher. Kier, in the middle of a major revamp under a new boss, reported an operating loss of 217 million pounds ($270.45 million) in the year ended June 30, from a profit of 134 million pounds a year earlier. Kier has also said it would sell its housebuilding and property businesses, cut about 1,200 jobs and suspend its dividend for at least two years in its bid to lower debt and stabilise the business.
Kier, in the middle of a major revamp under a new boss, reported an operating loss of 217 million pounds in the year ended June 30, from a profit of 134 million pounds a year earlier. The company, which has contracts for London's Crossrail project, also reported 341 million pounds in charges, including the costs of preparing to exit or sell businesses, restructuring costs and significant contract losses. Kier has also said it would sell its housebuilding and property businesses, cut about 1,200 jobs and suspend its dividend for at least two years in its bid to lower debt and stabilise the business.
With his flagship 3.7 billion pound ($4.5 billion) fund frozen, money manager Neil Woodford has been travelling around Britain trying to convince independent financial advisers (IFAs) his firm remains a good long-term bet. Woodford, one of the UK's best-known fund managers, has given no media interviews or made any public appearances since his Equity Income Fund was suspended on June 3 after it ran out of cash to pay back investors seeking to leave. Woodford has been "fighting his corner" said one source who attended the meetings, explaining his view of the markets and receiving a positive response, though two others said they did not find his arguments convincing.
Shares in Balfour Beatty rose 13% after its underlying profit more than tripled in Britain where it is working on lower risk contracts such as major road improvements, a rail link, and a nuclear power station. Balfour has sought to shore up cash and profitability in Britain as the infrastructure sector gets fewer contracts since the country voted to leave the European Union.