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ITV, GlaxoSmithKline and Indivior to be among the highlights for Wednesday

Among Wednesday's names are ITV, GlaxoSmithKline, Indivior, and Tullow Oil

ITV flag on top of studio building
Will ITV see a football and Love Island boost in its interims?

The World Cup is expected to have provided a viewing surge for ITV plc (LON:ITV), particularly since England made it to the semi-finals for the first time since 1990.

The broadcaster reports its results for the six months to the end of June on Wednesday with the football likely to have boosted advertising revenue towards the end of the period. ITV’s hit reality TV show Love Island could also move the dial for revenues.

The interims follow an encouraging first-quarter trading update and analysts expect to hear the group was able to keep up the momentum in the second quarter.

“We will look for confirmation that this momentum has been maintained or possibly accelerated (given report of strong advertising demand around the FIFA World Cup) as well as for an update on content sales and evidence of progress in driving digital revenues,” Shore Capital said.

“Perhaps more importantly, we also look forward to hearing the conclusions of CEO Carolyn McCall’s ‘strategic refresh’ – and particularly how she plans to accelerate growth in digital and content revenues both organically and through acquisitions.”

Analysts have forecast revenue of £1.5bn, earnings per share of 7.1p and a dividend of 27p each.

Recent pipeline successes for GSK

Another FTSE 100 drugmaker also due to post a second-quarter update is GlaxoSmithKline plc (LON:GSK), albeit on Wednesday.

GSK has had some success with its pipeline of late, particularly with a couple of its HIV and COPD treatments, so it will be interesting to hear what it has to say about those and the threat of generic competition from its rivals.

The west London-based company also recently completed the buy-out of Novartis's 36.5% stake in their consumer healthcare joint venture - the division that houses brands such as Beecham's and Panadol - for US$13bn in cash, which the management deemed was a better option than getting involved in the bidding for Pfizer's consumer division.

A bidding war for its Horlicks malted drinks business is reportedly on the cards too, so look out for any hints that the company is looking to say night-night to the drink, which is surprisingly popular in India.

Indivior’s star asset under attack

Staying with drugs, but on the second line, there is only one place to start with Indivior PLC (LON:INDV), which is set to publish its interim results on Wednesday.

Earlier this month it told investors it “cannot reliably provide” full-year guidance at the moment, although it did warn that 2018 profits will be below expectations, after Indian giant Dr Reddy’s launched a generic rival to Suboxone, Indivior’s blockbuster opioid addiction treatment.

A US court has told Dr Reddy’s to stop selling the drug until a patent dispute is resolved, but there is still a flood of the cheaper drug on the market which will hit Indivior’s top and bottom lines this year.

Investors will be seeking more guidance on the full-year outlook as well as some reassurance that one of its other rivals won’t launch their generic alternatives any time soon.

All in all it’s been a nightmare few weeks for Indivior and its shareholders, given that Suboxone accounts for more than 80% of its annual sales.

Can Tullow Oil overcome negative sentiments?

Investors can be forgiven for looking to Tullow Oil plc’s (LON:TLW) next update with at least a tinge of negativity following back to back legal disappointments - a nine-figure award is, of course, not an insignificant pill to swallow.

Nonetheless, as Tullow takes its medicine the commentary Wednesday’s interim statement will likely emphasise cash flows, crude prices and production growth.

The market will want commentary over the production operations, in June full year production forecasts were upped (to 86,000-92,000 bopd).

“The producing assets are performing well and activity levels are ramping up with a second rig being added in Ghana, as expected, to deliver (modest on our estimates) near-term production growth,” Numis analyst Thomas Martin said in a note this week.

The analyst also noted that Tullow has yet to give a 2019 forecast, though he believes its output will be around 94,000 boepd for the next year.

“Overall, we still forecast production will be relatively flat during the period 2017-2020 (2% CAGR), resulting in a modestly declining FCF outlook,” he added.

Operationally, the company is advancing towards a final investment decision for its Uganda joint venture, meanwhile, in Kenya (where early production had to be halted due to local protests over crude trucking) full project sanction is not anticipated until late 2019.

Talk around the potentially very large Zama discovery offshore Mexico may provide the highlight for those looking to cherry pick the positives in the outlook statement.

Wednesday July 25:

Interims: GlaxoSmithKline plc (Q2) (LON:GSK), ITV plc (LON:ITV), Tullow Oil plc (LON:TLW), Indivior PLC (LON:INDV), Informa PLC (LON:INF), Primary Health Properties PLC (LON:PHP), Croda PLC (LON:CRDA), Capital & Counties Properties PLC (LON:CAPC), Staffline Group PLC (LON:STAF), Rathbone Brothers PLC (LON:RAT), Quartix Holdings plc (LON:QTX)

Finals: ANGLE PLC (LON:AGL), Joules Group PLC (LON:JOUL)

Trading update: Vodafone PLC (LON:VOD), Antofagasta PLC (LON:ANTO), Marston’s plc (Q3) (LON:MARS), Wizz Air Holdings PLC (Q1) (LON:WIZZ), Brewin Dolphin PLC (LON:BRW), Empressaria Group PLC (LON:EMR), QinetiQ PLC (LON:QQ.), Victrex PLC (LON:VCTX)

Economic data: UK CBI distributive trades survey; BBA mortgage lending figures; German IFO business climate report; US new homes sales; US MBA mortgage applications

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