19th Oct 2026 07:57
(Alliance News) - LondonMetric reports growth in rental income over its first half, GSK posts promising results from a drug trial while Volex expects annual profit at the upper end of market forecasts. Meanwhile, Abenojar Tungsten, set to list later this month, could be worth more than GBP600 million.
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 10,855.50
GBP: lower at USD1.3328 (USD1.3339 at previous London equities close)
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ECONOMICS
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The average price tag on a home jumped by more than GBP3,500 month-on-month in October, but the market is still price sensitive, with prices "virtually flat" compared with a year earlier, according to a property website. Across Britain, the typical asking price for a home coming on the market is 1.0% or GBP3,575 higher month-on-month, Rightmove said. This brought the average asking price to GBP371,015, 0.1% lower than a year ago. Colleen Babcock, a property expert at Rightmove, said: "The rapid rise in mortgage rates is really beginning to hit buyers' budgets. We're now seeing mortgage rate rises feed through to seller pricing in many of the cheaper parts of Great Britain, where prices had been more resilient this year."
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BROKER RATINGS
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Jefferies cuts Imperial Brands to 'hold' (buy) - price target 2,700 (3,500) pence
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COMPANIES - FTSE 100
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GSK has set out its first batch of global data for the risvutatug rezetecan drug in sufferers of extensive-stage small cell lung cancer, with findings showing "positive anti-tumour activity". Results from the phase Ib dose-optimisation part of the Embold trial show ris-rez had an objective response rate of 61% among patients taking an 8 milligrams per kilogram dose, compared to 32% at 6mg/kg. The ORR is the percentage of patients whose cancer shrinks or disappears entirely.
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Property investor LondonMetric has backed the "reliable, predictable and growing income" from its assets, amid a tough backdrop. In the six months to September 30, net rental income increased by more than 8% to around GBP240 million, it says in a trading statement. It was supported by "high occupancy and very strong rent review and leasing activity", as well as its buy of Urban Logistics REIT sealed in June 2025. Rent collection for the period stands at 99.3%, while the occupancy rate is at 97.4%, "despite inheriting a high vacancy rate from the recent takeover of Picton Property". It acquired Picton last month alongside Schroder Real Estate Investment Trust. Under the deal's terms, Picton shareholders received 0.190 of a LondonMetric share and 0.894 of an SREIT share for each Picton share held. Following completion, Picton shareholders owned around 4.0% of the enlarged LondonMetric and 48.4% of the enlarged SREIT. LondonMetric says its first-half income climb leaves it "firmly on track" to meet market EPRA earnings per share consensus for the full year, which it puts at 13.9p. LondonMetric, which raised its first quarter dividend by 3.3% to 3.15p, expects to declare the same payout for the second quarter. This leaves it on track for a "twelfth consecutive year of dividend progression and dividend aristocracy". EPRA EPS in financial 2026 was 13.5p, with its annual dividend at 12.45p.
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COMPANIES - FTSE 250
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Volex expects to report a record half-year, and it now expects annual profit at the top end of market forecasts. The maker of power and data transmission products, which joined the FTSE 250 during last month's index review, says trading in the first half to September 30 "was excellent". In a trading statement, it says it expects to report half-year revenue of at least USD710 million, up around 22% from USD583.9 million a year prior. It would represent "record first half revenue with growth in every end-market", Volex adds. Volex notes growth rates have cooled from the 28% it reported for the first four months of the year, "as the Data Centre programmes that ramped up in the prior year annualise". However, it notes: "Sequential trading remains the better guide, with first half revenue expected to be approximately 7% higher than in the second half of FY2026 on an organic constant currency basis." The underlying operating profit margin for the first half is expected to progress towards its 12% medium-term target, having stood at 9.8% in the first half of the prior financial year. "Second half revenues are expected to be broadly similar to the first half, after allowing for the revenue brought forward ahead of the US site consolidation, with current trading conditions expected to continue across most end-markets," Volex says. It expects underlying operating profit for the full year "towards the upper end of current market expectations". It puts the market forecast at a USD145.9 million to USD153.3 million. Underlying operating profit in financial 2026 totalled USD127.3 million.
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OTHER COMPANIES
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ITM Power reports a narrowed annual loss as the designer and manufacturer of electrolyser systems for green hydrogen production achieves revenue ahead of expectations. In the year ended April 30, ITM Power's pretax loss narrowed to GBP24.8 million from GBP45.4 million, with revenue rising 68% to GBP43.6 million from GBP26.0 million. In February, it had lifted its annual revenue view to a GBP40 million to GBP43 million range, from prior guidance of GBP35 million to GBP40 million. For the new year, it targets revenue between GBP50 million and GBP60 million. It sees an adjusted loss before interest, tax, depreciation and amortisation between GBP17 million and GBP20 million, narrowing from GBP20.2 million in the year that ended in April. Its adjusted Ebitda loss in financial 2026 narrowed from GBP33.0 million. "The outlook for green hydrogen remains compelling, with powerful structural growth drivers in place. While [final investment decisions] continue taking longer than anticipated, the underlying fundamentals have strengthened. Importantly, this period favours companies with the discipline to focus on execution, preserve capital, and build the capabilities required to lead as projects move into construction and operation," ITM adds.
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Abenojar Tungsten is sizing up a market capitalisation of up to GBP628 million as it prepares for a Main Market float, with its debut expected next week. The developer of the El Moto tungsten project in Spain has priced its initial public offering between 110 pence and 140p, which would imply a market value between GBP525 million and GBP628 million. It expects to issue between 103.8 million and 132.1 million new shares to raise roughly GBP145 million. It expects to be eligible for inclusion in the FTSE UK Index Series. Even the smaller side of its market capitalisation range would leave it as a candidate to enter the FTSE 250. Abenojar expects conditional dealings of its shares to begin on October 27, with unconditional dealings three days later.
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By Eric Cunha, Alliance News news editor
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Related Shares:
Imperial BrandsItm PowerLondonMetricVolexGlaxosmithkline