Market watch: Aggreko feeling power of downturn

By DOMINIC JEFF
Published on 14/10/2012 00:00

TEMPORARY power supplier Aggreko will shed more light on how the global economic downturn is affecting its business when it updates the market on Friday.

The Glasgow-based firm was hit by a broker downgrade by HSBC last week and its shares lost further ground when American engine-maker Cummins, an Aggreko supplier, issued a profit warning. It has already said that despite £55 million of work for the London Olympics, revenue growth in the current half year will be slower than the 15 per cent jump seen in the six months to June.

Plans by Mothercare to become a lean and more competitive business will be tested on Thursday, when it is expected to report that UK sales improved a little thanks to online growth. After a difficult period, the company has recently sounded more optimistic, with new boss Simon Calver’s plan to reduce UK store numbers from 311 to 200 by 2015 still on track.

Final results from housebuilder Bellway on Tuesday should confirm a sharp rise in profits as it benefits from a shift towards more traditional family homes. The Newcastle-based group saw profits leap 69 per cent to £40.6m in its first half and analysts expect this trend to have continued.

Tomorrow: Fresnillo.

Tuesday: Bellway, GKN, Plexus Holdings, N Brown, Spirit Pub Company.

Wednesday: Diageo, Speedy Hire, Vertu Motors.

Thursday: Booker, Britvic, Ladbrokes, Mothercare.

Friday: Aggreko, Petrofac, Provident Financial.