Results on Tuesday from Europe’s largest travel firm, TUI travel, are likely to be viewed in the context of the renaissance of long-time rival, Thomas Cook.
Attention will be on early booking levels for the summer season, while broker Charles Stanley will be interested to see whether the ‘online accommodation’ is beginning to convert sales growth into profit growth.
The market is expecting profit before tax of £437.3mln on revenue of £14.9bn. The full-year divi is expected to clock in at 13.14p.
Also scheduled to update the market on Tuesday is plant hire group Ashtead.
Panmure Gordon is expecting further new on ongoing growth and a reiteration of good trading conditions in US markets.
“We believe markets remain good, and that Ashtead should continue to enjoy the benefits of timely investment in additional fleet and increased internal efficiencies. We expect cash flows to remain strong and further visibility on margin, utilisation and rate improvements,” Panmure Gordon said.
Polymers manufacturer Victrex has already announced full-year sales volumes of 2,920 tonnes, barely changed from the year before. UBS tips full-year revenue of £223mln and is line with consensus forecasts with its projection of £104mln in underlying earnings (EBITDA). The Swiss bank thinks earnings per share (EPS) will be 86.1p and the divi 43p.
Significant announcements expected
Companies: Finals: Litebulb Group (LON:LBB), TUI travel (LON:TT.), Victrex (LON:VCT), Zytronic (LON:ZYT). Interims: Ashtead Group (LON:AHT), Carpetright (LON:CPR), Iomart Group (LON:IOM), Photo-Me International (LON:PHTM). Trading Statement: Whitbread (LON:WTB).
Macroeconomic: UK: RICS House Price Balance, BOE Quarterly Bulletin, Manufacturing Production, Trade Balance, Industrial Production, NIESR GDP Estimate. EU: French Industrial Production, Italian Industrial Production. US: NFIB Small Business Index, JOLTS Job Openings, Wholesale Inventories.