Jon Steinberg, Future Plc’s new CEO, has large shoes to fill — Zillah Byng-Thorne transformed the publisher of slightly obscure magazines and websites into what was once one of the best performing stocks on the FTSE All-Share Index. Yet, that mid-pandemic glow has faded, with shares trading back around pre-pandemic levels. Steinberg’s experience at Buzzfeed, the DailyMail.com and Cheddar News, puts him as one of the people in the know when it comes to digital media.
(Bloomberg) — Jon Steinberg, Future Plc’s new CEO, has large shoes to fill — Zillah Byng-Thorne transformed the publisher of slightly obscure magazines and websites into what was once one of the best performing stocks on the FTSE All-Share Index. Yet, that mid-pandemic glow has faded, with shares trading back around pre-pandemic levels. Steinberg’s experience at Buzzfeed, the DailyMail.com and Cheddar News, puts him as one of the people in the know when it comes to digital media.
Here’s the key business news from London this morning:
In The City
Lloyds Banking Group Plc: The UK’s largest mortgage lender will buy back £2 billion of shares and upgraded its guidance, despite its profit before tax missing analyst expectations.
- The British lender took a £465 million charge to cover loans that could default, while net interest margins rose to 3.22%, helped by rapidly rising interest rates
Next Plc: The clothing and homeware brand has agreed a five-year licensing deal with Clarke & Clarke, a designer of floral prints, to make a range of homeware products.
- Next has been on a spree of buying intellectual property from brands like Made.com and Joules, and earlier this month appointed Jeremy Stakol as director of Investments, Acquisitions and Third Party Brands
Future Plc: The media company named Jon Steinberg, who founded Cheddar News and previously as COO of BuzzFeed, as their new chief executive officer.
- Steinberg will replace Zillah Byng-Thorne, who will leave at the end of March
Ineos Ltd: The chemical giant built by one of Britain’s richest men, Jim Ratcliffe, wants to expand its US onshore energy business after making its first major foray into American shale.
Rio Tinto Plc: The London-listed firm lowered its dividend after profits fell more than expected, adding to a mixed earnings season for the world’s commodity giants as demand wavers while costs creep higher.
In Westminster
Critics of Rishi Sunak said he had failed to resolve one of the key sticking points in the Brexit negotiations over Northern Ireland, a fresh setback as he tries to convince his own party to back plans to end the long-running dispute with the European Union.
Nurses, meanwhile, suspended further strikes, saying they’re entering intensive talks with ministers in a move to unlock a dispute over pay, even as the government suggested it has limited scope to raise wages next fiscal year.
The UK is failing to deliver on its plans to decarbonize home heating as Britain lags the rest of Europe in cutting one of the biggest sources of carbon emissions, according to the House of Lords Environment and Climate Change Committee. That’s as a new study said Britain would have an extra 4.3 million homes if its strict planning laws were more like those elsewhere in Europe.
In Case You Missed It
Recent North Sea gas IPO Ithaca Energy Plc and staffing company Sthree Plc will join the FTSE 250 index, while greetings card company Moonpig Group Plc and gambling business 888 Holdings Plc are set to leave. There will be no changes to the FTSE 100 in this round, the preliminary data shows, although the final decision will be made using data from the market close on Feb. 28.
London’s biggest investors are seeking to tap the surge in appetite for infrastructure assets from Australia’s A$3.3 trillion of pension funds.
Abu Dhabi Investment Authority is among parties considering a bid for a 34% stake in Associated British Ports, the UK’s biggest port operator, people familiar with the matter told Bloomberg.
Bentley Motors Ltd. will cease hand-building 12-cylinder engines in April of next year as the British carmaker focuses on turning out a fully electric model lineup by the start of the next decade.
Looking Ahead
Tomorrow will be another busy Thursday morning for company updates. Here’s what to expect:
Miner Anglo American Plc will likely report an almost 30% decline in full-year adjusted Ebitda due to higher production not completely offsetting lower realized prices, according to Bloomberg Intelligence. The chances of a special dividend could be limited if net debt rises.
Rolls-Royce Holdings Plc’s full-year figures are also due at 7:00 a.m. After first-half results missed expectations, revenue, operating profit and margins all likely improved in the second half of 2022, supported by the company’s defense and power businesses, BI’s Juan Chamorro said. Additional support may also have come from service growth in the civil aerospace unit, which probably swung to a profit as long-haul air travel recovers, according to estimates compiled by Bloomberg. The release will also be scoured for signs of easing supply chains and tighter cost control.
Advertising agency WPP Plc, meanwhile, is expected to fulfil guidance unveiled in October, when it raised its forecast for adjusted revenue growth, excluding pass-through costs, to 6.5% to 7% from 6%. Yet, its post-pandemic sales recovery persistently lags behind rivals, which could pressure WPP to revamp its strategy, including cost-cutting and M&A, according to BI analyst Matthew Bloxham. Investors are also likely to pay close attention to the advertising firm’s headline operating margin as inflation headwinds linger, making WPP’s 15.5% to 16% mid-term target harder to achieve.
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