Next, Adnams and Kier

“The FTSE100 edged lower in the opening session with the market still subdued after yesterday's Westminster terror attack that left five people dead and 40 injured. Traders will be looking to UK retail sales data out mid-morning, along with several data relating to eurozone consumer confidence throughout the session,” says AJ Bell Investment Director Russ Mould.

“Fashion group Next’s profits fell in the year to January and the outlook remains gloomy. The sector faces three potential threats: a sectorial shift away from spending on clothing, price inflation as a result of sterling's devaluation and potentially weaker growth in real incomes in the wider economy. These headwinds are likely to be felt most acutely in Next’s retail business, as sales continue to migrate away from the High Street to online shopping.

“Adnams enjoyed a record year in 2016 with sales of its own beer topping 100,000 barrels for the first time and sales of its spirits up by 66%. Turnover rose to a record £70.3m but the operating result was 3.8% behind last time due to the fall in sterling in the second half of the year. Adnams has substantial euro and US dollar costs relating to wine and hop purchases. The group, though, has confidence in the underlying performance of the business and this is reflected in a 4.2% increase in the final dividend.

“Kier’s shares edged up in early trading after it unveiled an order book of approximately £9bn reflecting strong pipeline conversion in regional building and highway services. The group has also established a new joint venture with CKH Developments, a housing association and care services provider which principally operates in the east of England. Kier’s shares were up by 0.72% in early trading.”

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