Draghi gives market a lift on stimulus hint
European Central Bank president Mario Draghi hinted at more stimulus, helping to drive shares higher.
Pearson led the FTSE 100 risers, up 17.4% after announcing plans to cut 4,000 jobs worldwide.
Royal Mail (+4%) said group revenue rose 1% in the nine months ended 27 December.
Moya Greene, chief executive, said: “In the first nine months, UK parcel volumes were up 4%, with 130m parcels handled in December alone, 6% more than last year.
“The performance in letters improved slightly over the first half, with addressed letter volumes, excluding elections, down 3%. In Europe, GLS performed better than expected with volumes up 11%. Given the performance to date, we are not anticipating a decline in GLS margins for the full year. We remain on track to deliver at least a 1% reduction in underlying operating costs before transformation costs in UKPIL for the full year.”
Royal Mail said it had made a number of investments to improve its technological capabilities and enhance its offering in the parcels space.
Overall, trading in the nine months fully met its expectations and said it remains on track to deliver at least a 1% reduction in underlying operating costs before transformation costs in UKPIL for the full year.
Given the performance to date, it is not anticipating a decline in GLS margins for the full year. Otherwise our outlook for letter and parcel trends and other guidance remain unchanged from that set out in the financial results for the half year ended 27 September,
The results for the full year ending 27 March 2016 are expected to be announced on 19 May.
David Evans, chairman of Glasgow based Collagen Solutions, has today fulfilled his promise after yesterday’s trading alert and purchased 1m shares in the drugs development company at 7.5p per share.
Following this transaction, his total beneficial holding has increased to 13,888,730 ordinary shares representing 8.1% of the issued ordinary share capital of the Company.
He said: “As was announced in the recent trading update, I have purchased a further one million shares in Collagen Solutions which re-affirms my commitment to the company and strong belief in the growth potential that the company offers.”