The theme of retailers and water companies continues.
North-based United Utilities has already warned (in September) that interim profits would be lower than expected due to a combination of lower consumption and higher interest charges on its index-linked debt.
With UK inflation hitting a 41-year high this week, the debt problem does not look likely to go away quickly and is offsetting the benefits of the sale of its renewable business.
Group revenue for the first half of 2022/23 is expected to be around 1% lower than the first half of last year (£932mln), the group said, with operating profits down from £333mln in the comparable period and the impacts spilling into the second half.
Halfords Group PLC (LSE:HFD) reports after in May warning that sales had slumped, with guidance for full-year profit cut to £65mln-£75mln.
Broker Peel Hunt said it anticipated that Halfords' top line will have “remained resilient” in the run up to this set of interims, though.
The most recent update from pet supplies retailer Pets at Home Group PLC (LSE:PETS) made for better reading, keeping its full year guidance unchanged following revenue growth in the first quarter.
Despite keeping guidance unchanged through robust trading, a rare sight among retailers in all sectors this year, the share price has still fallen (see the preview on Halfords and Pets here).
Elsewhere, North West-focused water company United Utilities PLC is the day's representative from the sector.
Significant announcements due on Wednesday
Trading updates: DP Eurasia NV, Rotork PLC (LSE:ROR)
Interims: DiscoverIE Group PLC, Eckoh PLC (AIM:ECK, OTC:EKTPF), Halfords PLC, HICL Infrastructure PLC, Johnson Matthey PLC (LSE:JMAT), LondonMetric Property PLC (LSE:LMP), Pets At Home Group PLC, United Utilities Group PLC (LSE:UU.)
Finals: Britvic PLC (LSE:BVIC), Ten Lifestyle Group (AIM:TENG) PLC
AGMs: Crystal Amber Fund Ltd, CVS Group (AIM:CVSG) PLC, Fidelity Asian Values PLC (LSE:FAS), Genus PLC (LSE:GNS), Gritt Real Estate Income Group Limited, One Heritage Group PLC (LSE:OHG), Synergia Energy Ltd (ASX:SYN, AIM:SYN)
Economic announcements: PMI Composite (UK), PMI Manufacturing (UK), PMI Services (UK), MBA Mortgage Applications (US), Durable Goods Orders (US), Initial Jobless Claims (US), PMI Composite (US), PMU Manufacturing (US), PMI Services (US), New Home Sales (US), Crude Oil Inventories (US), FOMC Interest Rate Minutes (US)
US earnings: XPeng, Salesforce, Snowflake