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Barclays PLC to kick off bank results in coming week, Unilever PLC


Other firms on the calendar for the week ahead are Dettol owner Reckitt Benckiser, price comparison site Moneysupermarket and the London Stock Exchange Group

The coming week will see the start of the UK’s third quarter banking results season with () first out of the starting blocks on Friday. However, before then, investors will be eyeing other updates in the week from consumer goods giant () and bookmaker () among others.

On the macro front, UK inflation data will be the big news in the week, while UK flash PMIs and US jobless claims will also provide some flavour.

Bellway rings in with an update

(), which announces full-year results on Tuesday, has already reported it saw a 31% decline in housing revenues to £2.2bn during the 12 months to July 31, as completed sales were down by the same percentage.

The housebuilder at the time pointed to incremental costs arising from lower productivity amid the coronavirus lockdowns, which it said will result in a lower gross margin across its building sites for the past year.

As such, UBS expects the main focus of the results to be around profitability, current trends in activity and an outlook for the new financial year.

Forecasting a sizeable drop in gross profit margins, analysts at the Swiss bank have pencilled in an underlying operating loss in the second half of the year of £8mln, or £80mln including one-offs.

The analysts think sales rates may well have continued to improve in the new financial year and that pricing will have remained firm.

Interestingly, larger rival Barratt in the past week said while demand for new houses has remained strong, buyers are increasingly relying on the government’s help-to-buy scheme, and that since the pandemic there had been a material change in loan to value (LTV) lending criteria.

Reckitt looks to clean up

Group PLC (), the owner of Dettol and Air Wick, has so far come out as one of the few beneficiaries of the coronavirus pandemic as higher demand for cleaning products had its goods flying off the shelves.

With a trading update due on Tuesday, investors will be hoping the growing second wave of infections has also served to boost demand from both consumers and professional customers such as hotels, airlines and car hire firms.

Also on the agenda will be an outlook for investing, with chief executive Laxman Narasimhan saying in July that the company aims to put more money back into the business after its cash flow doubled in the first half of the year.

William Hill odds on for an update

A trading update from bookmaker William Hill PLC () on Wednesday will likely be all about the outlook, particularly in the short-term as the UK government’s new lockdown restrictions threaten to force the bookmaker to shutter some of its stores in affected areas as Britain tries to flatten out the infection rate of a second coronavirus wave.

However, the UK situation will only be part of the story, with the US likely to be the subject of the longer…



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