16th Jul 2025 07:49
(Alliance News) - Miners Antofagasta and Rio Tinto reported improved second quarter output, publisher Bloomsbury expects annual results in line with the market view, while Craneware said it has topped consensus.
Here is what you need to know before the London market open:
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MARKETS
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FTSE 100: called down 0.2% at 8,919.02
GBP: higher at USD1.3406 (USD1.3380 at previous London equities close)
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ECONOMICS
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UK consumer price inflation was more robust than expected last month, numbers showed, hitting the loftiest rate in a year-and-a-half. According to the Office for National Statistics, the UK annual consumer price inflation rate accelerated to 3.6% in June, from 3.4% in May. According to FXStreet cited consensus, it had been expected to remain at 3.4% in June. The June reading represented the loftiest inflation rate since January 2024. Consumer prices rose 0.3% in June from May. They had risen 0.2% in May from April. Costs for the transport, particularly motor fuels, made the largest upward revision to the annual inflation rate, the ONS said. Core consumer prices, excluding energy, food, alcohol, and tobacco, rose 3.7% annually in June, topping the FXStreet cited consensus which had pencilled in another 3.5% hike, which would have matched the May increase. The annual service price inflation rate was unchanged at 4.7% in June, the ONS said.
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BROKER RATINGS
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Morgan Stanley raises Hiscox to 'overweight' (equal-weight) - price target 1,460 (1,280) pence
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COMPANIES - FTSE 100
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Antofagasta reported an increase in second quarter copper output, amid a productive period at its Los Pelambres and Centinela assets, and the miner left its annual outlook unchanged. Copper production in the second quarter of the year rose 3.5% on-quarter to 160,100 tonnes. The outcome reflects stronger output from Centinela and Los Pelambres, both in Chile, "offset by lower output from the Group's cathode operations". Copper sales fell 9.6% on-quarter to 153,800 tonnes. For the whole of the first half, copper output was 11% higher on-year at 314,900 tonnes. Gold output rose 13% quarter-on-quarter to 48,300 ounces and was up 36% on-year at 91,200 ounces. Antofagasta still expects copper output for the year between 660,000 and 700,000 tonnes. Net cash costs guidance is unchanged at the USD1.45 to USD1.65 per pound range. "Our pipeline of copper growth and development projects at both Centinela and Los Pelambres continues to advance on time and on budget, with recent market movements in by-product pricing strengthening the investment case for these projects. At Zaldivar, we were pleased to secure approval of our environmental impact assessment during the quarter, which allows us to extend this operation's mine life to 2051," Chief Executive Officer Ivan Arriagada said. "Our conviction in copper as the metal of the future remains, with a positive outlook for copper over the medium-term. We see continuing demand support in the form of rising uses from key strategic sectors, driven by accelerating structural trends, such as energy security and modern technologies needed for decarbonisation, AI and infrastructure, with a supply-side that is becoming increasingly constrained."
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Miner Rio Tinto hailed an "excellent operational performance" in the second quarter. Pilbara iron ore production climbed 5% on-year to the highest second quarter output at the asset since 2018. Shipments from Pilbara were 1% lower, however. Elsewhere, copper output rose 15% annually, aluminium production was 2% higher and bauxite production climbed 6%. It was a "second consecutive quarterly production record" in bauxite. "We delivered excellent operational performance from our mine operations with record production from our bauxite business and from Oyu Tolgoi [in Mongolia] as it ramps up to become the world's fourth largest copper mine before the end of the decade," Chief Executive Officer Jakob Stausholm said. Rio Tinto left its output guidance for the full year largely unchanged, though it said it now expects bauxite output at the higher end of a forecast range. Rio on Tuesday named its iron ore boss Simon Trott as its next chief executive, replacing Stausholm next month.
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COMPANIES - FTSE 250
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Dowlais Group's suitor said its buy of the automotive engineering firm has moved closer. American Axle & Manufacturing said its own shareholders approved the acquisition at a meeting on Tuesday. Dowlais shareholders will vote on the deal next week Tuesday. Dowlais accepted a takeover by American Axle & Manufacturing in January. Shareholders in London-based Dowlais stand to receive 0.0863 of a new AAM share, as well as 42 pence in cash and up to 2.8p in the form of a Dowlais final dividend. At the time of the deal being struck, it implied a GBP1.16 billion value for Dowlais on a fully diluted basis. American Axle in May said it would pursue a secondary listing of its shares in London.
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Bloomsbury Publishing said it expects annual results in line with consensus, as it looks ahead to a "strong" slate of releases in the remainder of the year. The independent publisher puts consensus for the year ending February 28 at GBP335.9 million for revenue and GBP41.6 million in pretax profit before "highlighted items". That outcome would represent a 7.0% revenue decline from GBP361.0 million in financial 2025 and a 12% fall in profit from GBP42.1 million. "In the Consumer Division, Sarah J Maas topped bestseller lists again in the UK and US with the paperback launch of House of Flame and Shadow in June. The publication of JK Rowling's Pocket Potters series begins in August and we have a strong front list in the remainder of the year," Bloomsbury said. "Operationally, we successfully transitioned our UK distribution to Hachette UK Distribution which has streamlined logistics and increased agility in our supply chain."
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OTHER COMPANIES
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Craneware hailed "positive" full-year trading and it expects profit "ahead of consensus market expectations". The provider of software, focused on US healthcare sector expects to report a 12% increase in adjusted earnings before interest, tax, depreciation, and amortisation to over USD65 million for the year to June 30, from USD58.3 million 12 months prior. Revenue growth of 9% to USD205.7 million is expected. "The group anticipates that the ongoing drive within US healthcare to improve efficiency and deliver value in healthcare will continue to provide a positive market environment for Craneware's offerings. The partnership with Microsoft is progressing well, raising the profile of The Craneware group and its AI-powered Trisus offerings with hospital CIOs across the US, providing the basis for increased market penetration in future periods. AI development in conjunction with Microsoft continues as planned," Craneware said. "The continued acceleration in Ebitda, annual recurring revenue and net revenue retention provides the board with confidence in the delivery of an accelerated revenue growth rate in FY26. The strength of the company's balance sheet and strong cash generation provide Craneware with solid foundations as it executes on its growth strategy, capitalising on its strategic position at the heart of the US healthcare market."
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Consumer goods maker Creightons reported a swing to annual profit, on a revenue rise and "remedial measures" to revive its bottom line. The company, focused on beauty and wellbeing goods, said pretax profit in the year March 31 amounted to GBP3.5 million. It represented a swing from a GBP3.3 million loss the year prior. Revenue rose 1.6% to GBP54.1 million from GBP53.2 million, "driven by private label sales growth". "Revenue has grown despite a difficult market environment, where challenges faced by certain customers have had an adverse effect on overall revenue performance," the company said.
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By Eric Cunha, Alliance News news editor
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Related Shares:
HiscoxAntofagastaRio TintoBloomsburyDowlaisCranewareCreightons