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DCC drops after broker downgrade on consumer exposure

Last updated: 14:54 30 May 2022 BST, First published: 09:08 30 May 2022 BST

Countryside Partnerships PLC -

One of the bigger fallers was DCC PLC, which fell 1.5%, or 86p, to 5,530p after broker RBC downgraded the sales and marketing service group to ‘sector perform’ from ‘outperform.’

The Irish blue-chip's exposure to the squeezed consumer "warrants some forecast caution in the current environment", said the Canadian-owned broker, which said it remained "big fans" of the company and management, and sees scope for a re-rating over time "if it can skew the business away from traditional energy".

RBC slashed its target price to 5,800p from 7,500p.

Elsewhere, ITM Power was down 2% as Credit Suisse trimmed its target for hydrogen electrolysis specialist to 230p from 235p on the back of reduced forecasts for shipments to reflect a delay to 24MW of electrolyser shipments.

Previously the Swiss bank forecast ITM would deliver 29MW in the year to April, below the guided range of 33-50MW of shipments in the 2022 financial year, with a shipment to Luena not possible this year after supply chain issues slowed factory acceptance testing.

"This reduces revenue by £14.6m in FY22e, based on our average pricing of £740/kW in FY22 which may be too high if ITM gave launch discounts to Luena," CS said.

12.55pm: R&Q rebounds quietly 

Randall & Quilter Investment Holdings Ltd clawed back some of last year’s losses after a programme management update.

The shares lost around a quarter of their value last week after a takeover fell through but they were up 7.7% today at 96p after the speciality insurance company said gross written premiums in the first three months of this year rose to US$370mln from US$193mln in the corresponding period of 2021.

READ 10.09am: Randall & Quilter slides as bidder backs out of £482mln takeover for insurer

Programme fee income more than doubled to US$18mln from US$8mln a year earlier.

12.40pm: i-Nexus slumps as recurring revenues decline

i-nexus Global PLC, a leading provider of cloud-based strategy execution software solutions, fell out of bed on Monday, shedding 31% after its interims disappointed.

Group revenue in the six months to the end of March fell to £1.54mln from £2.01mln from the corresponding period in 2020/21, with recurring revenue sliding to £1.42mln from £1.81mln.

The reduction in recurring revenue “reflects the exceptional level of churn” experienced last year; in other words, the company lost more customers than it signed up.

11.25am: Picture looking brighter at Mediazest

The picture is looking brighter at Mediazest PLC (AIM:MDZ), the creator of audio-visual experiences.

The share rose 12.5% to 0.09p after the group said current trading remains positive across the group’s key retail, automotive and corporate sectors.

The group is also seeing increased demand for temporary and event-driven technology as clients’ customers return to their stores and other locations, and seek to reintroduce the ‘wow factor’ to their marketing activations, Mediazest said.

10.50am: Palatable full-year results from Comptoir

Comptoir Group PLC (AIM:COM) hit the spot with its final results, which sent the shares racing 16% higher to 6.25p.

The restaurant group said that since reopening fully in the summer trading has been “highly encouraging”, notwithstanding the impact of the December lockdown restrictions.

The company said its full-year results verify that it has emerged from the difficulties of the last couple of years in a better position than pre-pandemic.

9.55am: UKOG higher after announcing plans for a gas storage project

UK Oil & Gas PLC (AIM:UKOG) said it will lease two former Royal Navy sites in Dorset to develop a hydrogen-ready gas storage and green hydrogen generation capability.

The underground salt cavern storage sits beneath the land offering a capacity of 43bn sq ft (1.2bn sq metres).

Shares in the energy firm rose 10% to 0.1325p as the company explained that it would be building on a prior project by site owner Portland Gas Storage that never came to fruition.

9.00am: Countryside Partnerships tops the risers as Inclusive Capital Partners makes bid approach

Countryside Partnerships PLC (LSE:CSP), up 29% at 308.6p, was the top riser in London after stakeholder Inclusive Capital Partners announced a tilt at the housebuilder.

Having made a confidential approach about a possible offer worth 295p (cash) per share, Inclusive Capital (In-Cap) was notified by Countryside that the company would not engage with In-Cap or provide access to due diligence materials.

In-Cap said it has made two attempts to engage with the board of Countryside over the last two months and today it called for the board to relax its stance.

Oxford Metrics (AIM:OMG) PLC saw its value rise by a quarter to 98p after the smart sensing software company sold its infrastructure management division, Yotta.

Yotta has been lobbed out to Causeway Technologies for £52mln in cash.

“Today's sale of Yotta is an enabler of growth on multiple fronts. First, it combines our excellent Yotta team and technology with a platform that can unlock additional growth across Yotta's existing market - and in other adjacencies. I am proud of the Yotta team's many achievements and I am confident that, in combining with Causeway, many more achievements lie ahead,” said Nick Bolton, the chief executive officer of Oxford Metrics (AIM:OMG).

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