Category: Market News

Harbour Energy (LSE:HBR) reported a sharp increase in operational scale during 2025, with average production rising 84% to 474,000 barrels of oil equivalent per day. The uplift reflected the full-year contribution from the Wintershall Dea assets and strong operational execution across the portfolio. Unit operating costs fell by around 20% to $13 per boe, while greenhouse gas intensity improved to 14 kgCO₂ per boe.

Financial performance strengthened alongside higher output. Revenue increased to $10.3bn and EBITDAX reached approximately $7.1bn, supporting free cash flow of $1.1bn for the year. Net debt was reduced to $4.4bn as the company progressed key development projects in Norway, Argentina, Mexico and Egypt, advanced carbon capture and storage initiatives in Denmark, and delivered exploration success in both Norway and Egypt.

Strategically, Harbour completed the integration of the Wintershall Dea portfolio and continued to streamline its asset base, exiting non-core positions in Vietnam and selected licences. During the year, the group announced three notable transactions: divestments in Indonesia, a UK acquisition of Waldorf that unlocks cash and tax losses, and a $3.2bn acquisition of LLOG Exploration in the US Gulf of Mexico. The latter is expected to add a long-life, oil-weighted operated portfolio and further diversify the company’s production base.

Looking ahead to 2026, before the impact of the pending transactions, Harbour is guiding to production of 435,000–455,000 boepd, operating costs of around $13.5 per boe, capital expenditure of $1.7–1.9bn and free cash flow of roughly $600m at current price assumptions. Management said it is targeting another year of solid operational delivery, further balance sheet strengthening and, subject to deal completion, a move towards 500,000 boepd by the end of the year alongside a lower effective tax rate.

Overall, Harbour Energy’s outlook is supported by strong operational execution and strategic actions aimed at enhancing shareholder value, including share buybacks. These positives are partly offset by a negative P/E ratio and bearish technical indicators, which continue to weigh on sentiment. A high dividend yield and constructive earnings call commentary provide some support, although profitability pressures remain an area of focus.

More about Harbour Energy

Harbour Energy is an independent oil and gas exploration and production company with a geographically diversified portfolio spanning the UK, Norway, Germany, Argentina, Mexico, North Africa and Southeast Asia. Its production mix is broadly balanced between liquids and natural gas, with an increasing focus on high-return, short-cycle projects and lower-carbon operations, including carbon capture and storage, to support free cash flow generation and resilience in evolving energy markets.

B&M European Value Retail S.A. (LSE:BME) reported modest sales growth in the third quarter, with group revenue up 2.9% year on year and 3.6% for the year to date. Trading benefited from strong seasonal demand and a return to like-for-like growth in the core B&M UK estate during December and early January.

Despite the improved sales momentum, the retailer reduced its full-year adjusted EBITDA guidance to a range of £440m–£475m, down from the previous £470m–£520m forecast. The downgrade reflects increased investment in price, an accelerated clearance of discontinued ranges and a broader stock clean-up as part of its “Back to B&M Basics” reset programme. Profitability at Heron Foods continues to lag expectations and the business remains under strategic review.

Operationally, B&M is pressing ahead with a wider rollout of SKU rationalisation and stock-availability initiatives following pilot trials. B&M France continues to deliver solid growth in a competitive retail environment, while the group is also implementing recommendations from an external review into a previously disclosed overseas freight cost systems issue. Management said these actions reinforce a renewed focus on operational discipline and financial controls, even as near-term margins remain under pressure.

Looking ahead, the outlook for B&M reflects a balance of strengths and challenges. Valuation metrics are supportive, with a low P/E ratio and an attractive dividend yield suggesting the shares may be undervalued. These positives are tempered by bearish technical signals, which point to potential short-term volatility. Financial performance remains stable overall, but continued attention to leverage and cash flow management will be important as the reset programme progresses.

More about B&M European Value Retail S.A.

B&M European Value Retail S.A. is a FTSE 250-listed variety goods value retailer operating 791 B&M-branded stores across the UK, 343 convenience outlets under the Heron Foods and B&M Express banners, and 146 B&M stores in France. Founded in 1978 and listed in London in 2014, the group specialises in discount general merchandise and fast-moving consumer goods, serving price-conscious consumers in the UK and French markets.

Tritax Big Box REIT plc (LSE:BBOX) reported a strong operational performance in 2025, underpinned by active asset management, steady development progress and a growing focus on data centres, leaving the group confident as it moves into 2026. Contracted rent increased to £360.9m, including £14.2m generated through asset management initiatives, alongside solid like-for-like rental growth. During the year, the company integrated a £1.04bn portfolio acquired in October and continued capital rotation, completing £415.5m of disposals, largely from non-strategic UKCM assets.

The logistics development pipeline also advanced, with 1.8 million square feet under construction, more than half of which is already pre-let. A further £8.9m of rent is currently under offer, with additional lettings in advanced negotiations. New planning consents and development starts are targeting yields on cost of around 7–8%, supporting future income growth.

Tritax has also accelerated its expansion into data centres, agreeing terms on a major 107MW pre-let at Manor Farm near Heathrow, which is expected to deliver a yield on cost of around 9.3%. Beyond this project, the group holds rights over a broader UK data centre pipeline of approximately 1GW of potential capacity. Management highlighted structural tailwinds from both logistics and data infrastructure demand as key drivers of its long-term strategy.

The balance sheet remains a core strength, with 28% embedded rental reversion, total vacancy of just 5.6%, a weighted average unexpired lease term of 10.2 years, loan-to-value of 33% and an upgraded A3 credit rating. Against this backdrop, Tritax said it remains on track with its ambition to grow adjusted earnings by around 50% by 2030.

Overall, Tritax Big Box REIT’s outlook is supported by strong financial performance, attractive valuation metrics and positive corporate developments highlighted in recent updates. Technical indicators also point to a supportive trend, although management acknowledged that higher leverage and wider market vacancy levels represent areas to monitor.

More about Tritax Big Box REIT

Tritax Big Box REIT plc is the UK’s largest listed investor in high-quality logistics warehouse assets and controls the country’s largest logistics-focused land platform. The FTSE 250 real estate investment trust focuses on owning and actively managing modern, well-located logistics facilities, typically let on long-term, upward-only leases to institutional-grade tenants. The group is increasingly targeting power-enabled sites capable of supporting both logistics operations and large-scale data centre developments across the UK.

Fonix plc (LSE:FNX) reported a strong first half of its 2026 financial year, with gross profit increasing 7.1% to £10.5m and adjusted EBITDA rising 6.4% to £8.3m, in line with management expectations. The performance was supported by a 7% increase in total payment volumes to £160m and continued operational reliability, with the platform delivering 100% uptime during the period.

The board said it intends to raise the interim dividend in March 2026, in line with its policy of paying out at least 75% of adjusted earnings per share. Operationally, Fonix continues to push ahead with international expansion, scaling commercial activity in Portugal, completing network connectivity and preparing pilot programmes in a third European market, and establishing a legal entity and making its first hire in a fourth country. While contributions from these new territories are expected to be limited in the near term, management anticipates a more meaningful impact from FY27 onwards.

Alongside geographic expansion, product development remains a key growth driver. Fonix has rolled out its PayFlex solution across major UK radio brands and extended it into Ireland, launched its CompsPortal platform for the first time, and delivered successful RichMessaging pilots. Both the payments and messaging divisions continued to grow, and the board reiterated its confidence in meeting full-year expectations, despite potential headwinds from changes to UK gaming taxation.

Overall, Fonix Mobile PLC’s outlook is underpinned by strong financial performance, an attractive valuation and positive corporate developments that point to continued strategic progress and shareholder alignment. Technical indicators suggest supportive short-term momentum, although some longer-term resistance may remain. Limited disclosure from earnings calls restricts deeper insight into management’s forward guidance.

More about Fonix Mobile PLC

Fonix plc is a London-headquartered provider of mobile payments and messaging solutions, enabling organisations to connect, engage and transact with customers through mobile technology. Founded in 2006, the company works with clients across media, charity, entertainment and enterprise sectors, including major broadcasters and charities, helping them generate revenue and deepen audience engagement through interactive mobile services and seamless payment experiences.

Kitwave Group plc (LSE:KITW) reported record unaudited revenue of £802.7m for the year ended 31 October 2025, representing year-on-year growth of 20.9%. Gross margin improved to 22.8%, while adjusted operating profit increased by 11.7% to £38.0m, largely reflecting continued expansion and a favourable mix shift within the higher-margin Foodservice division.

The group delivered strong cash generation, with cash conversion improving to 104%, and reduced leverage to 2.3x including leases, highlighting a strengthening balance sheet. Reported earnings per share edged lower, however, reflecting an increased share count and the impact of short-term restructuring and integration costs. These costs were associated with the consolidation of foodservice depots and the ramp-up of a new South West distribution centre.

Management said these investments, together with the completed integration of recent foodservice acquisitions into the Creed Foodservice platform and a solid performance from the Retail & Wholesale division, leave the group well positioned to realise operational synergies and support future growth despite a challenging macroeconomic backdrop. In addition, the proposed acquisition of the group by OEP Capital Advisors L.P. has been highlighted as offering an attractive potential outcome for shareholders.

Overall, Kitwave Group plc’s outlook is shaped by its strong financial performance and appealing valuation metrics. This is tempered by bearish technical indicators, which suggest some near-term caution, while the lack of recent earnings call commentary and major new corporate developments limits further insight.

More about Kitwave Group plc

Kitwave Group plc is a UK-based delivered wholesale business supplying impulse products, frozen, chilled and fresh food, alcohol, groceries and tobacco to around 46,000 predominantly independent customers. Operating from a national network of 37 depots, the group serves convenience retailers, leisure operators, vending businesses, foodservice providers, other wholesalers and major national retailers, and has expanded through a combination of organic growth and acquisitions in the fragmented grocery and foodservice wholesale market.

Landore Resources Limited (LSE:LND) announced updated independent mineral resource estimates for the BAM Gold Project, alongside revised figures for the adjacent B-47 and VW base metal deposits at its Junior Lake Property in Ontario. Following the release of the updated resource statement, trading in the company’s shares has resumed on AIM.

The new CIM-compliant estimate for BAM was prepared by SLR Consulting and is based on an optimised pit shell using a long-term gold price assumption of US$3,000 per ounce. It defines Indicated resources of 622,300 ounces of gold and a further 33,700 ounces in the Inferred category. These figures represent a notable reduction compared with the 2022 pit-constrained resource, reflecting tighter geological modelling, updated sampling information and higher assumed operating costs, despite the higher gold price used in the analysis.

Management said the revised work provides a more robust and realistic interpretation of the BAM orebody, significantly reducing geological and development risk. The company believes the updated resource places the project on a more comparable footing with other gold deposits in Ontario and offers a clearer base from which to pursue future growth. The update also highlights the potential strategic value of the nearby nickel, copper, cobalt and platinum group metal deposits at B-47 and VW, particularly against a backdrop of strong gold prices and increasing interest in critical minerals.

From an outlook perspective, Landore continues to be constrained by weak financial fundamentals, including the absence of revenue, ongoing losses and continued cash burn, implying a reliance on external funding despite having no debt. Technical indicators remain unfavourable, with negative MACD signals and the share price trading below key moving averages. Valuation support is limited given negative earnings and the lack of dividend visibility.

More about Landore Resources

Landore Resources Limited is an AIM-listed mineral exploration and development company focused on advancing its wholly owned Junior Lake Property in northwestern Ontario, Canada. Its principal asset is the BAM Gold Project, supported by nearby nickel–copper–cobalt and platinum group metal deposits at B-47 and VW, positioning the company across both gold and critical minerals in a well-established mining jurisdiction.

TheWorks.co.uk plc (LSE:WRKS) reported interim results for the 26 weeks to 2 November 2025, highlighting resilient in-store trading despite significant disruption to online sales. Total like-for-like sales edged up 0.3%, with store LFLs rising a strong 4% and materially outperforming the wider non-food retail market. This was offset by a 36% decline in online sales, reflecting operational challenges following the transition to a new third-party fulfilment partner.

Group revenue slipped marginally by 0.3% to £123.8m, but profitability improved. Pre-IFRS 16 adjusted EBITDA narrowed to a £1.0m loss, while the adjusted loss before tax reduced to £5.1m. The improvement was driven by a 330 basis point uplift in product margins, continued cost-saving initiatives and tighter cost control. Net debt also reduced to £5.3m. No interim dividend was declared, as the Board remains focused on further strengthening the balance sheet.

Trading in the first 11 weeks of the second half showed continued resilience in stores, with store LFLs up 1.2% against a weakening consumer backdrop. However, ongoing online capacity constraints meant total LFLs fell 4.2%. Despite heavier Black Friday discounting and increased post-Christmas clearance activity, the group continued to deliver margin expansion and cost efficiencies.

Strategic actions under the “Elevating The Works” programme remain central to the turnaround. These include enhanced brand marketing centred on screen-free family activities, improved store standards, selective net store openings and distribution efficiencies. Management said the business entered the post-Christmas period with an improved cash position and remains confident of delivering FY26 profit in line with market expectations, while longer-term plans target further sales growth, profitability and shareholder value as online fulfilment issues are resolved.

Overall, the outlook for The Works is mixed. Strong store-led trading and apparent valuation support are positives, but these are balanced by weaker technical indicators and ongoing financial vulnerabilities, including relatively high leverage and uneven profitability.

More about TheWorks.co.uk plc

TheWorks.co.uk plc is the UK’s leading specialist retailer of affordable, screen-free activities for the whole family, offering products across reading, learning, creativity and play. With more than 90% of sales generated through its store network, the group focuses on value-driven consumers seeking low-cost, non-digital leisure activities, while online acts as a complementary channel alongside an optimised nationwide estate.

Future plc (LSE:FUTR) has agreed to acquire 100% of UK digital publisher SheerLuxe Ltd and BLUSH Talent MGMT Ltd for an initial cash consideration of £39.9 million, strengthening its exposure to women’s fashion, beauty and lifestyle content. SheerLuxe, a rapidly growing “Google-zero” brand with around 6 million followers across social media, newsletters, websites and podcasts, has a strong Gen Z audience profile and generated £12.6 million of revenue and £5.1 million of EBITDA in the 12 months to September 2025, implying an EBITDA margin of roughly 40%.

The deal is expected to be earnings accretive, with the acquisition struck at an EV/EBITDA multiple of 7.8x. Future plans to unlock value by applying its commercial scale, advertising and affiliate expertise, and proprietary products such as Collab and Future Optic. The group also intends to leverage its US infrastructure to support a SheerLuxe launch in the United States, further strengthening its Fashion & Beauty vertical alongside established titles including Marie Claire and Who What Wear.

The transaction will be funded from existing facilities and is expected to add around £3 million in annual interest costs. Total consideration is capped at £80 million, linked to ambitious growth targets and the retention of SheerLuxe’s management team. Management said the acquisition aligns with Future’s strategy of using strong cash generation to reduce leverage and return surplus capital to shareholders through buybacks, while sharpening its portfolio around brands that benefit most from its platform-led model.

Looking ahead, Future plc’s outlook reflects a balance of pressures and opportunities. Financial performance remains under strain from declining revenue and profitability, while technical indicators point to bearish momentum. Offsetting these factors, valuation metrics suggest potential undervaluation, and management’s strategic initiatives outlined in recent updates offer some optimism for longer-term growth. Improving revenue momentum and margins will be central to strengthening the overall investment case.

More about Future plc

Future plc is a London-listed global specialist media group operating around 175 brands across a wide range of content verticals. The group monetises audiences through advertising, eCommerce affiliate income and direct consumer revenues such as subscriptions and magazine sales. Its content is distributed via websites, newsletters, video, print publications and live events, with a strategy focused on building engaged audiences, increasing revenue per user and optimising its media portfolio.