Author: Fiona Craig

Trustpilot Group (LSE:TRST) shares fell around 10% after the online reviews platform reaffirmed its full-year guidance instead of raising expectations, despite reporting first-half results that exceeded market forecasts.

Strong first-half results fail to lift guidance

The company reiterated its expectation of delivering revenue growth in the high teens for the full year alongside an improvement of between two and three percentage points in its adjusted core profit margin.

Although the outlook remained unchanged, investors appeared to have been anticipating an upgrade after Trustpilot reported stronger-than-expected bookings and revenue during the first six months of the year.

First-half bookings reached US$171 million, around 5% ahead of company-compiled consensus estimates, representing constant currency growth of 18% compared with expectations of 16.5%. Revenue totalled US$151 million, approximately 2% above forecasts, with constant currency growth of 19%, ahead of the consensus estimate of 18.2%.

North America and enterprise customers drive growth

North America continued to be the company’s strongest-performing region, with bookings increasing 27% year over year.

Trustpilot also recorded robust growth among larger customers, with annual recurring revenue from clients generating more than US$20,000 each rising 36% compared with the previous year. The performance highlights continued momentum in the company’s enterprise business.

AI engagement continues to accelerate

The company said it is seeing increasing engagement from artificial intelligence platforms.

According to Trustpilot, requests from ChatGPT to its servers increased by more than 400% year over year during June. It also highlighted independent research from Seer Interactive, which ranked Trustpilot as the world’s most-cited review platform following a 1,490% increase in click-throughs generated by AI-powered search since fiscal 2025.

Despite these encouraging operational trends and growing AI-related opportunities, investors focused on the absence of a higher full-year forecast, contributing to the sharp decline in the share price.

Shares in SIG (LSE:SHI) fell by as much as 22% on Thursday after the building materials distributor warned that challenging market conditions had weighed on first-half trading and lowered expectations for full-year profitability.

Weak construction demand pressures sales

SIG reported a 1.5% decline in like-for-like sales during the first half of the year, reflecting continued weakness across construction markets. The company said adverse weather conditions at the beginning of the year also disrupted trading and contributed to the softer performance.

Management added that it does not expect a meaningful improvement in market conditions during the second half of the year.

Profit outlook reduced

As a result of the weaker trading environment, SIG now expects to deliver annual underlying operating profit of approximately £25 million (US$33.8 million).

The revised guidance reflects ongoing pressure across the construction sector, with subdued demand continuing to affect activity in the company’s end markets.

New improvement programme targets stronger cash generation

Alongside the trading update, SIG unveiled a new improvement programme aimed at strengthening its financial performance over the medium term.

The initiative is designed to generate £100 million in cash while increasing the group’s annual profit run rate by £50 million by the first half of 2028. Management expects the programme to improve operational efficiency and enhance profitability as market conditions recover.

Rotork (LSE:ROR) shares climbed almost 67% after Swiss engineering and technology group ABB (TG:ABB) reached agreement on a recommended all-cash acquisition of the UK-based flow-control specialist. The offer values Rotork at 503 pence per share, placing an enterprise value of approximately $5.5 billion on the business.

Premium offer values Rotork at $5.5 billion

The agreed offer represents a premium of roughly 60% to Rotork’s average share price over the previous three months. In addition to the cash consideration, shareholders will remain eligible to receive an interim dividend of up to 3 pence per share for the period ending 30 June, with the takeover price remaining unchanged.

The acquisition will be funded using ABB’s existing cash reserves together with committed banking facilities. ABB added that proceeds from the planned sale of its robotics division to SoftBank are expected to further enhance its liquidity position.

ABB targets expansion of its automation business

ABB said the acquisition would strengthen its automation division by adding Rotork’s portfolio of flow-control and instrumentation products, which it believes complement its existing technologies.

The company expects the acquisition to increase group revenue by around 3% while providing an immediate positive contribution to its Operational EBITA margin.

“ABB has followed Rotork over many years, and we admire the execution excellence, engineering quality, and customer trust that Rotork’s teams deliver each day,” chief executive Morten Wierod said in a statement, adding that the company sees a “compelling strategic fit” and expects the deal to expand ABB’s automation offering while accelerating Rotork’s growth.

Board unanimously backs the offer

Rotork Chair Dorothy Thompson said the board believes the proposal reflects the progress achieved under the company’s Growth+ strategy while offering shareholders an attractive opportunity to realise value in cash.

“The board believed the offer recognized the company’s progress under its Growth+ strategy while providing shareholders with an attractive cash opportunity.”

The Rotork board has unanimously recommended that shareholders vote in favour of the transaction.

The acquisition is expected to complete during the first half of 2027, subject to shareholder approval and the receipt of customary regulatory clearances.

MS International (LSE:MSI) reported broadly stable annual revenue while strengthening its balance sheet and advancing its strategy of becoming a more defence-focused engineering group. Although profits declined amid delays to global defence procurement programmes, the company continued to generate strong cash, expanded its defence offering and outlined plans to reshape its portfolio through potential asset sales.

Defence delays weigh on profits despite resilient trading

Group revenue for the 2025/26 financial year remained broadly unchanged at £115.01 million. Profit before tax declined to £15.06 million, while earnings per share fell to 67.4p as slower-than-expected defence procurement programmes delayed the conversion of anticipated orders.

Despite the weaker earnings performance, MS International significantly strengthened its financial position, increasing its cash balance to £46.53 million. The order book eased slightly during the year, reflecting the slower timing of defence contract awards rather than a reduction in long-term demand.

Defence division continues to drive growth

The Defence and Security business remained the group’s strongest-performing division, delivering resilient sales and profitability.

Growth was supported by strong demand in the United States and increasing international interest in the company’s counter-drone technologies, including the Terrahawk VSHORAD system and a newly developed Multi Weapon Station for customers in the Middle East.

Outside defence, the Forgings division faced more challenging conditions as tariffs disrupted market activity, although the business secured new strategic customers during the year. Meanwhile, the recently combined Petrol Station Superstructures and Branding division continued to benefit from cross-selling opportunities, growing demand for electric vehicle infrastructure and expansion within European branding markets.

Portfolio reshaping and leadership transition

MS International is continuing to review its portfolio as it sharpens its strategic focus on defence.

The company confirmed that it is actively exploring the sale of its Petrol Station Superstructures and Branding division, with buyer interest already emerging. Management also indicated that strategic options for the Forgings business may be reconsidered once that process progresses.

The year also marks a significant leadership transition. Long-serving chairman and chief executive David Sleath is stepping down from the board after more than five decades with the company and will become Life President. Anthony Wreford will assume the role of independent non-executive chairman, overseeing the next phase of the group’s development.

Investment outlook

MS International continues to benefit from a strong balance sheet, resilient defence operations and growing demand for advanced military technologies. Delays in procurement have affected short-term earnings, but the underlying defence pipeline remains supportive, particularly following significant contract wins with the US Navy and increasing international demand for counter-drone systems.

Although technical indicators remain relatively weak and cash flow trends warrant continued monitoring, the company’s strategic refocusing and strengthened financial position provide a solid platform for future growth.

About MS International

MS International is a diversified engineering company operating across three core divisions: Defence and Security, Forgings, and Petrol Station Superstructures and Branding. The group supplies naval weapon systems, land-based defence equipment and counter-drone technologies to military customers worldwide, while also providing industrial forgings and infrastructure solutions for the fuel retail and corporate branding sectors. Its operations span the UK, the US, Brazil and several international markets.

Amaroq Ltd. (LSE:AMRQ) has reported another set of high-grade drilling results from its Nalunaq gold mine in southern Greenland, providing further evidence of the continuity of gold mineralisation within the Main Vein. The latest results strengthen confidence in the company’s production plans while highlighting additional exploration potential beyond its forthcoming resource update.

High-grade drilling supports production outlook

Recent underground drilling within the Mountain Block returned an average gold grade of 42.8 grams per tonne, with several intercepts exceeding 60 grams per tonne and a peak result of 132.5 grams per tonne over 0.5 metres.

The results confirm the consistency of high-grade mineralisation within the Main Vein and support Amaroq’s exploration target of approximately 2 million ounces of gold. The drilling programme has also increased confidence in numerous planned mining stopes, reinforcing both short- and medium-term production planning.

Additional work completed on the 500 level is helping refine the geological model in areas where mineralisation is less well defined.

Exploration programme targets further resource growth

Amaroq is now preparing to relocate drilling to the newly developed 810 Exploration Drift, where it will test largely unexplored western sections of the Main Vein.

At the same time, a mountaineering-supported surface channel sampling programme is progressing between the 804 and 996 levels, with visible gold already identified during fieldwork.

Importantly, the latest drilling results were received after the cut-off date for the company’s forthcoming MRE5 mineral resource estimate. As a result, the new discoveries represent additional upside beyond the imminent resource update.

Management believes the 810 Exploration Drift represents one of the most promising near-mine growth opportunities at Nalunaq, with the potential to expand mineral resources close to existing infrastructure while increasing operational flexibility through the development of 12 to 24 months of pre-drilled production inventory.

Investment outlook

The latest drilling programme further strengthens confidence in the quality and continuity of the Nalunaq deposit while supporting both current production plans and longer-term resource expansion. Continued exploration success close to existing mine infrastructure has the potential to extend mine life and improve future production flexibility.

With additional drilling results still to be incorporated into future resource estimates, Amaroq continues to build a pipeline of near-mine growth opportunities that could enhance the long-term value of its flagship Greenland gold project.

About Amaroq Ltd.

Amaroq Ltd. is a gold mining and exploration company focused on the high-grade Nalunaq underground gold mine in southern Greenland. The company is advancing resource growth through underground drilling, geological modelling and surface exploration, with the aim of expanding the mine’s resource base towards an exploration target of approximately 2 million ounces of gold. Its exploration strategy increasingly focuses on underground access and targeted surface sampling to evaluate previously untested extensions of the Main Vein.

Gulf Marine Services (LSE:GMS) has been awarded a four-year charter for one of its newest self-elevating accommodation units, further expanding its presence in the Latin American offshore market. The long-term contract strengthens revenue visibility, increases vessel utilisation and supports the company’s strategy of growing beyond its traditional Middle East operations.

Long-term contract strengthens order visibility

The 1,461-day charter has been awarded by an international offshore accommodation services provider and will see the vessel deployed offshore Brazil.

Delivery is scheduled between August and November 2026 from Rio de Janeiro, providing Gulf Marine Services with another long-duration contract that enhances earnings visibility over the coming years.

The award also extends utilisation of the company’s modern fleet of self-elevating support vessels, reinforcing demand for its specialist offshore accommodation capabilities.

Latin America expansion gathers pace

Management said the agreement reflects continued global demand for high-specification self-elevating support units while validating the company’s strategy of expanding into new international markets.

The contract strengthens Gulf Marine Services’ presence in Brazil and supports its broader ambition to diversify geographically beyond its core Middle Eastern markets. The company believes the expansion will further enhance its competitive position across offshore support services for both traditional oil and gas developments and the growing offshore wind sector.

By securing another multi-year charter, Gulf Marine Services has increased the proportion of contracted future revenue while broadening its international customer base.

Investment outlook

Gulf Marine Services continues to benefit from improving financial fundamentals, including lower debt levels, sustained profitability and generally healthy cash generation. Long-term charter contracts also provide greater earnings visibility and reduce exposure to shorter-term fluctuations in offshore activity.

However, investors may remain cautious following a decline in net income and weaker free cash flow during 2025. Technical indicators also present a mixed picture, while the current valuation appears broadly balanced rather than deeply discounted.

About Gulf Marine Services

Gulf Marine Services is a leading provider of self-propelled, self-elevating support vessels serving the global offshore energy industry. Founded in Abu Dhabi in 1977 and listed on the London Stock Exchange, the company operates a fleet of 15 self-elevating support vessels from bases in the UAE, Saudi Arabia and Qatar. Its vessels support offshore platform maintenance, well intervention and renewable energy projects across the Middle East, Latin America, West Africa, North America and Europe.

Crest Nicholson (LSE:CRST) reported an interim operating loss after weaker housing market conditions reduced revenue and home completions during the first half of the year. In response, the housebuilder is prioritising cash preservation, reducing investment activity and working with lenders to strengthen its financial flexibility while preparing for an eventual recovery in the UK housing market.

Weaker trading weighs on first-half results

The company reported lower revenue and fewer home completions as subdued buyer demand and ongoing economic uncertainty continued to affect the UK residential property market.

Adjusted gross margin declined significantly, while completions fell to 584 homes during the period. Net debt also increased sharply, leading the board to suspend the interim dividend as it focuses on preserving cash and maintaining balance sheet resilience.

Management acknowledged that market conditions remain challenging and adopted a cautious outlook for the remainder of the financial year.

Cash preservation becomes strategic priority

To improve liquidity, Crest Nicholson is reducing land purchases, slowing the pace of new site launches and disposing of selected non-core land assets.

The company also continues to implement its Project Elevate transformation programme, which is intended to improve operational efficiency and strengthen long-term profitability.

Alongside these initiatives, Crest Nicholson is in advanced discussions with its lending banks to amend the financial covenants attached to its revolving credit facility. A key covenant waiver has already been extended while negotiations continue, helping to provide additional financial flexibility.

Management believes these actions will strengthen the balance sheet and position the company to benefit when conditions across the UK housing market improve.

Investment outlook

Crest Nicholson remains focused on restoring profitability through tighter cost control, stronger cash management and operational improvements. However, the company continues to face pressure from weak housing demand, declining cash generation and elevated debt levels.

Although the shares offer an attractive dividend yield under normal trading conditions, valuation metrics remain distorted by lower earnings, while weak technical indicators reflect continued investor caution towards the UK housebuilding sector.

About Crest Nicholson Holdings

Crest Nicholson Holdings is a UK residential housebuilder focused on open market housing, private rented sector developments and affordable homes. The company primarily operates in the mid-premium segment and has placed increasing emphasis on construction quality, customer satisfaction and sustainability. Crest Nicholson holds an MSCI AAA sustainability rating and is a constituent of the FTSE4Good Index.

Metals Exploration (LSE:MTL) delivered another quarter of solid cash generation from its Runruno gold mine while making significant progress on the construction of its La India development project in Nicaragua. The company also continued to expand its long-term growth pipeline through exploration activity and the addition of a new copper-gold project in the Philippines.

Runruno delivers strong cash flow

During the second quarter, the Runruno mine generated gold revenue of US$47.1 million and pre-tax free cash flow of US$25.2 million. Improved gold recoveries helped support performance despite lower ore grades and reduced mining volumes during the period.

The operation reported an all-in sustaining cost of US$2,019 per ounce and finished June with US$9 million in cash and no debt, providing a strong financial position as the company prepares for its next phase of growth. Management also plans to introduce a US$27 million equipment loan to support future development activities.

La India construction moves beyond halfway stage

Construction of the La India gold project reached 56% completion during the quarter, with the company continuing to target first gold production in December 2026.

The project’s total development budget has been revised to US$177 million, reflecting higher logistics expenses and additional import duties. Despite the increased cost estimate, management reaffirmed its development timetable.

Alongside construction, Metals Exploration continued drilling programmes at La India to support future resource growth and also secured the rights to develop the Batong Buhay porphyry copper-gold project in the Philippines, adding another potential long-term growth asset to its portfolio.

Investment outlook

Metals Exploration continues to benefit from strong operational cash generation, healthy profit margins and a debt-free balance sheet, providing financial flexibility to fund its growth projects. The ongoing development of La India, combined with expanding exploration activities, offers the potential to increase production and extend the company’s operating life over the coming years.

While the shares trade on an attractive earnings valuation, technical indicators remain mixed, with weaker momentum limiting investor sentiment despite improving operational fundamentals.

About Metals Exploration

Metals Exploration is a gold production, development and exploration company with operations in the Philippines and Nicaragua. Its producing Runruno Gold Mine generates the cash flow supporting construction of the La India Gold Project, while the company is also advancing the Batong Buhay copper-gold exploration project in the Philippines as part of its strategy to build a diversified portfolio of precious and base metal assets.