Safestyle, Headlam and Bloomsbury

“The FTSE100 opened in negative territory with investors waiting on a string of UK inflation data out mid-morning from the Bank of England, with the country's consumer-price index in particular focus. Inflation has been rising since the last year’s EU referendum and in recent weeks BoE officials have been more hawkish on interest rates,” says AJ Bell Investment Director Russ Mould.

“Double-glazing group Safestyle was a double-digit faller in early trading after it warned of reduced first half profits. Safestyle has continued to build market share but it is a bigger slice of a much smaller cake with the industry’s figures showing an overall decline in volume of more than 10%. Given the uncertain market conditions and weaker consumer confidence, Safestyle is being prudent in expecting only modest revenue growth for the remainder of the year. Safestyle’s shares were down by more than 12.4% in early trading.

“Headlam was one of the FTSE All-Share’s biggest risers following a strong first half. The floorcoverings group saw total revenues rise by 4% to £341.9m with growth in both the UK and Continental Europe. The UK accounts for nearly 86% of the group’s total revenues and like-for-like revenue growth of 2.1% reflected a positive performance from both the residential and commercial sectors. Headlam’s shares were up by over 4.1%.

“Publishing group Bloomsbury has made a good start with first quarter revenues up 19%. The three months to the end of May traditionally generate the smallest profit of the financial year but Bloomsbury is firmly on track to meet its full-year forecasts. First quarter revenues were driven by its consumer division while the Harry Potter series, which marked its 20th anniversary this year, continues to be among its top selling titles.”

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