Playtech annual profits on the rise, Next cuts FY guidance

London pre-open

The FTSE 100 was being called to open 13.7 points higher ahead of the bell on Thursday after closing out the previous session 0.22% weaker at 7,460.63.

Stocks to watch

Media company Future revealed on Thursday that it had acquired digital-only entertainment publisher WhatCulture.com data insight platform operator Waive for an undisclosed sum.

Future said the acquisition of WhatCulture strengthened its position in the video market, while the addition of Waive would extend its "Aperture" data platform and enhanced data science capabilities.

Gambling equipment maker Playtech reported a rise in annual profits on Thursday as it continued to discuss a takeover with a group of Asia-based investors after the collapse of Aristocrat Leisure's bid earlier in the year.

The FTSE 250-listed company posted adjusted core earnings of €317.0m, up 25% year-on-year, on a 12% rise in revenue to €1.2bn. Playtech, which has 700 employees in Ukraine, also noted that there was a risk of disruption to operations as the war with Russia continued.

Next cut its full-year profit guidance and predicted selling prices would rise by 8% in the second half of 2021 as the fashion retailer reported a more than doubling of annual profit.

Pre-tax profit jumped by 140% to £823.1m in the year ended 31 January from a year earlier, while group sales rose 34% to £4.86bn. Next also reduced its central annual profit guidance by 1.2% to £850m, with the closure of its websites in Russia and Ukraine and reduced forecasts in other overseas markets offsetting a better than expected UK sales performance.

Newspaper round-up

Some food bank users are declining items such as potatoes as they cannot afford the energy to boil them, the boss of the supermarket Iceland has said, as the soaring cost of living pushes vulnerable groups to the financial brink. Richard Walker, who says the 1,000-stores in the budget chain are in the "poorest communities in the UK", also called on the government to help businesses that are being forced to increase prices significantly as their own costs dramatically increase. - Guardian

The war in Ukraine is to slash economic growth in Britain this year as inflation wrecks household budgets and taxes rise, the fiscal watchdog has warned. The Office for Budget Responsibility delivered a slew of downgrades in its forecasts after the Chancellor warned the conflict risks "significantly" worsening the economy and public finances. - Telegraph

Rising energy costs threaten to sabotage Boris Johnson's plans for an electric vehicle revolution, car industry chiefs have warned. Manufacturing electric cars requires large amounts of energy, while higher bills could also deter drivers from switching from petrol-powered models. - Telegraph

Flexible working is a deciding factor for young employees in choosing whether to accept a job or look for a new one. Research by the Kantar consultancy found that 86% of "Generation Z", aged 18 to 24, and 85% of millennials, aged 25 to 39, said that flexible home working policies are one of the main factors they consider when deciding whether to accept a job compared with 66% of boomers, aged 56 to 75. The online survey of 7,985 employees across eight countries including the UK was conducted in January. - The Times

The Russian stock market was set to reopen early this morning after being shut for almost a month following the invasion of Ukraine. Trading on the Moscow Exchange has been suspended since the end of February in an effort to stabilise the market. On February 24, the day of the invasion, the Moex index of leading Russian stocks dropped by as much as 45%, the most on record, as investors rushed to sell their holdings. The index clawed back some of those losses the following day — the last session before it was closed. - The Times

US close

Wall Street stocks closed lower on Wednesday, as both oil prices and elevated bond yields remained in focus.

At the close, the Dow Jones Industrial Average was down 1.29% at 34,258.50, while the S&P 500 lost 1.23% to 4,456.24 and the Nasdaq Composite was off 1.32% at 13,922.60.