FTSE 100: Markets Rising as Johnson Prepares to Go

FTSE 100: Markets Rising as Johnson Prepares to Go

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Shares Watches of Switzerland rise after record profit

Watches of Switzerland announced record profits today after what the CEO called a “great year.”

Pre-tax profits nearly doubled to £126 million from group sales of £1.2 billion, a 40% increase at constant exchange rates. UK sales rose 36% to £810 million, while US sales reached £428 million, up 48%.

The company’s performance in the UK was aided by strong demand in its Boutique Rolex outlets, including one in Westfield in Shepherd’s Bush.

Tudor-branded watches, as promoted by David Beckham above, were also the main drivers of sales.

Watches of Switzerland opened 18 new showrooms in the year and renovated 17, saying it had “big plans” for its European operations.

Shares were up 1.1% this morning at 797p.

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Cut rates to save high streets, says Currys boss

The new chancellor must make lowering business rates a top priority for retailers, the Currys boss said today.

Alex Baldock said the high street was paying too much for too long. “Retailers can’t continue to pay 10% of business taxes if we make up 5% of the economy,” he said.

Baldock, a Tory supporter and donor, said his message to Chancellor Nadhim Zahawi was: “What we need from the government at the moment is some consistency. Consumers need help through the cost of living crisis.”

Profits at the electric group quadrupled to £126 million for the year to April, a reflection that most stores had closed in the previous year. Sales remained stable at £10.1 billion.

Currys said it will “dampen” the blow to consumers from inflation by freezing prices where it can, but said it needs government help. A VAT reduction can also help.

Baldock, a former banker who took over Currys in 2018, says customers are increasingly relying on credit to buy goods, but said he would certainly be “responsible”, working with “very down to earth” lenders.

He added: “We owe this achievement to our thousands of capable and dedicated colleagues, who have built a stronger Currys. They loved seeing customers return to our stores in droves, helping them with personalized expert advice and the full range of our services that keep customers with us. Stores, in combination with online, offer our customers the omnichannel best of both worlds that they clearly prefer.”

Currys shares rose 4p to 70p, but they have nearly halved in the past year.

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ZOO Digital shares rise 7% after sales jump 78%

Shares of movie subtitling and dubbing specialist Zoo Digital rose 7% after it posted record results, fueled by the expansion of global streaming services.

Zoo Digital saw sales rise 78% to $70.4 million (£58.8 million), while operating profit tripled to $3.1 million.

The company partners with streaming services such as Netflix and Disney+ to provide subtitling and dubbing services using a global network of freelance voice actors.

The company said it had seen demand for its dubbing services rise as streaming platforms ramped up content production as subscribers grew.

Stuart Green, CEO of Zoo Digital, told the Standard: “What the pandemic did was accelerate that shift – stuck at home we wanted to watch new programmes. More content is now being produced than ever before.

“We’ve had a great year of profitable growth – gaining market share by expanding and taking advantage of this fantastic opportunity.”

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FTSE 100 300 points below PM’s tenure

At first glance, the city might have looked as if it was about to see the demise of Boris Johnson

While he was preparing his resignation speech, FTSE 100 a rally from 80 points to 7188. miners and banks led the attack, with Anglo-American up to 105p to 2735p, with Standard Chartered up to 22p to 600p.

Beneath the surface it was less cheerful. And over the three years of the prime minister’s reign, the leading index has fallen a total of about 300 points, commentators note.

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IPO yields plummet 94% amid geopolitical tensions and inflationary pressures

UK revenue IPOs fell 94% in the first half of 2022 as companies eschewed stock market listings amid geopolitical tensions and inflationary pressures.

Only six companies were listed on UK stock exchanges in the second quarter of 2022, and only one company joined the GOAL market in a £6 million increase.

The slender selection for the UK IPO market contrasts sharply with a record year in 2021, in which the London Stock Exchange became the largest global center for IPOs outside the US and China, with companies raising a total of £3.8 billion in the second quarter alone.

The UK IPO market underperformed the global market as a whole, with revenues down 58% over the same period.