Debenhams disappoints as FTSE falls [Northeast Region] [Daily Post (Liverpool, England)]
(Daily Post (Liverpool, England) Via Acquire Media NewsEdge) ONE of the star performers of 2012 suffered a new year hitch yesterday after disappointing the City with its Christmas trading update.
Debenhams posted like-for-like sales growth of 5%, but this came at the expense of margins, as competitive trading conditions forced it into one-off price cuts of up to 50% on some products.
Having risen more than 90% last year, Debenhams shares succumbed to profit-taking, with the stock down almost 8%, or 9p to 108.1p, in the FTSE 250 Index.
In the top flight, the FTSE 100 Index fell 11 points to 6053.6, as it emerged unemployment in the eurozone hit a record high of 11.8% in November.
The Dow Jones Industrial Average also opened lower, with investors pessimistic about the approaching run of corporate earnings reports. The pound was down against the US dollar and the euro at 1.60 and 1.22 respectively, amid weak UK construction and services data last week.
Mobile phone giant Vodafone was among the top blue-chip risers, up 2.8p to 162.4p, after the boss of Verizon Communications discussed the possibility of buying the UK company's 45% stake in Verizon Wireless.
Miner Anglo American was also doing well after investors reacted positively to the appointment of Mark Cutifani as chief executive to replace Cynthia Carroll, who will step down at the end of April. He is now boss of South Africa's AngloGold Ashanti. Shares were 1.4% higher, up 27.5p to 2028p.
Shares in Royal Bank of Scotland continued to rise yesterday after proposals aimed at ensuring firms can survive a short-term crisis were softened by regulators.
Shares were up 1%yesterday, ahead 3.1p to 337p.
Sainsbury's was the best performing stock in the supermarket sector after till roll figures from Kantar Worldpanel said the chain was the only retailer to increase its market share compared with last year. Its share price rose 7.3p to 339p.
Rival Tesco was also on the risers board after the figures pointed to a further recovery.
Shares were up 2.2p to 351.5p. Morrisons, which saw its market share decline to 12% in the 12 weeks to December 23, was down 2.8p to 253.3p.
Out-of-town homewares chain Dunelm forecast more profits growth after seeing sales continue to outperform the homewares market. But shares fell 1p to 710p amid signs of a slowdown in same-store growth due to tougher comparisons with a year earlier.
Housebuilder Persimmon said revenues grew 12% to Pounds 1.7 billion in 2012, helped by a 6% rise in sale completions to 9,903 homes. But shares were down 1p to 836p after it emerged chief executive Mike Farley will step down in April, to be replaced by north region boss Jeff Fairburn.
The biggest FTSE 100 risers were Shire up 49p to 1963p, Sainsbury's ahead 7.3p to 339p, Vodafone 2.8p higher at 162.4p and Resolution up 4p to 254.9p.
The biggest FTSE 100 fallers were Tullow Oil down 46p to 1225p, TUI Travel off 9.8p to 276.8p, Antofagasta 34p lower at 1288p and CRH down 32p to 1221p.
(c) 2013 ProQuest Information and Learning Company; All Rights Reserved.
[ Back To Technology News's Homepage ]