Aviva, ITV and Serco Group results in Thursday’s spotlight

Aviva, ITV and Serco Group are all among the notable names in the diary for Thursday.

Aviva plc - Aviva, ITV and Serco Group results in Thursday’s spotlight

Aviva Plc (LON:AV.) is set to deliver its interims following the promotion of industry veteran Amanda Blanc to CEO last month.

The company has seen its new sales and solvency ratio hit by the pandemic, however, it still managed a solid first quarter of trading with new life business increased 28% and general insurance sales up 3%, the second quarter has understandably seen more of a decline.

With the second quarter understandably being more difficult, investors are likely to eye more clarity on the extent of the impact as well as the company’s outlook for the rest of the year as second waves of the virus emerge around the world.

Is ITV keeping up with Netflix?

ITV PLC’s (LON:ITV) interims are out on Thursday and analysts hope the second quarter has been the bottom of the barrel.

In the middle of the lockdown, advertising demand in April nearly halved and the Studios’ productions were put on pause, although online viewing surged as people were cooped up in their homes.

Online advertising and revenue streams such as Britbox are key elements, according to Hargreaves Lansdown, in the FTSE 100 firm’s strategy to become ‘more than TV’ and a more diversified business, so it’s an important quarter for ITV to show if it is working.

Investors will be curious to see if the uplift in new subscribers in the second quarter has been similar to the one of Netflix, which saw earnings lifted by millions of new customers.

No surprises for Serco

Serco Group Plc’s (LON:SRP) interims on Thursday shouldn’t come as a huge surprise after the outsourcing giant highlighted a strong performance in a June update.

The FTSE 250-listed firm forecast revenue growth of 23% alongside an underlying trading profit of £75mln-£80mln, 50% higher than a year ago, driven primarily by the company’s overseas businesses and its acquisition of the Naval Systems Business Unit of Alion in North America last August.

The pandemic posed challenges but Serco saw limited financial impact as losses in some of its segments were offset by additional work elsewhere, while order intake came in at around £1.8bn.

According to Berenberg, the stock is “unique asset that is wholly exposed to government contracts with an international reach”, plus £200mln of coronavirus-related work combined with the mobilisation of some large contracts are expected to yield organic revenue growth of 10% in the whole year.

Thursday 6 August

Trading announcements: Amryt Pharma PLC (LON:AMYT)

Interims: Aviva PLC (LON:AV.), ITV PLC (LON:ITV), Serco Group PLC (LON:SRP), Hammerson PLC (LON:HMSO), Savills PLC (LON:SVS), Spirent Communications PLC (LON:SPT), Mondi PLC (LON:MNDI), Evraz PLC (LON:EVR), AIB Group PLC (LON:AIBG), Phoenix Group Holdings PLC (LON:PHNX), Aggreko PLC (LON:AGK), ConvaTec Group PLC (LON:CTEC), Glencore PLC (LON:GLEN), Synthomer PLC (LON:SYNT), Tritax Big Box REIT PLC (LON:BBOX)

FTSE 100 ex-dividends to knock 1.61 points off the index: Unilever PLC (LON:ULVR)

Economic data: Bank of England rates decision, UK construction PMI, US jobless claims

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