Category: Market News

Associated British Foods (LSE:ABF) reported group revenue of £6.76bn for the 16 weeks ended 3 January 2026, broadly in line with expectations and down 0.9% at constant currency. Performance across the portfolio was mixed, with strength in retail offset by weaker trading in several commodity-exposed divisions.

Retail revenue, led by Primark, increased by 1.5% at constant currency. The UK and Ireland delivered modest like-for-like and total sales growth, while the US showed stronger momentum with 12% like-for-like growth. This was partly offset by weaker conditions in continental Europe, where both like-for-like and total sales declined. Elsewhere, the grocery division was broadly flat with slight growth, while the ingredients, sugar and agriculture businesses all recorded revenue decreases.

Overall, the update points to resilience in Primark’s core UK and US markets, contrasted with continued pressure in European retail and in businesses more closely linked to commodity cycles. These trends are likely to come under closer examination when the group publishes its interim results in April, particularly in relation to profitability and regional strategy.

From an outlook perspective, Associated British Foods retains a solid financial base and strong operational capabilities, but faces headwinds in accelerating revenue growth and improving cash flow generation. Technical indicators are mixed, while valuation appears reasonable and supported by a moderate dividend yield. Management commentary has highlighted ongoing strategic initiatives alongside persistent challenges, notably within the sugar segment and European operations, resulting in a broadly moderate near-term outlook.

More about Associated British Foods

Associated British Foods is a diversified international food, ingredients and retail group with operations spanning grocery brands, sugar, agriculture and speciality ingredients, alongside its discount fashion retail chain Primark. The group generates revenue across the UK, Ireland, continental Europe, the United States and other international markets, providing broad exposure to both consumer goods and value-focused apparel retailing.

Emmerson PLC (LSE:EML) provided an update on its arbitration case against the Government of the Kingdom of Morocco, confirming that the ICSID tribunal was fully constituted during the fourth quarter of 2025. This followed the appointment of tribunal president Laurent Lévy, after which an initial procedural hearing was held on 16 December 2025. As a result of that hearing, a timetable has been agreed requiring Emmerson to file its detailed Memorial by the end of the first quarter of 2026.

The arbitration has been brought by Emmerson’s subsidiaries, Khemisset UK Ltd and Potasse de Khemisset S.A., and seeks compensation for the alleged expropriation of the Khemisset potash project. The claims also relate to asserted breaches of protections under the UK–Morocco bilateral investment treaty. While the ultimate outcome of the proceedings remains uncertain, management views the case as a pivotal step in its efforts to recover value linked to its Moroccan investment.

From an outlook perspective, Emmerson continues to face significant financial challenges, including the absence of revenue, widening losses and ongoing negative free cash flow, alongside continued erosion of equity. These pressures are partly balanced by supportive technical indicators, with the share price trading above key longer-term moving averages and a positive MACD signal. Valuation support remains limited, however, given the company’s loss-making position and lack of dividend visibility.

More about Emmerson

Emmerson PLC is an AIM-listed mining company focused on the development of the Khemisset potash project in Morocco. Through its UK and Moroccan subsidiaries, the group is positioned within the fertiliser and wider mining sector, with Khemisset representing its core development asset.

Ilika plc (LSE:IKA) reported its half-year results, highlighting the achievement of several important technical and commercial milestones across both its Stereax and Goliath solid-state battery programmes, despite lower revenues and a wider EBITDA loss over the period.

Within the Stereax programme, the company completed process qualification and began production at Cirtec Medical’s manufacturing facility in the United States. Ilika also started delivering M300 prototype samples, secured an initial revenue-generating purchase order for Stereax electrodes, and continued active discussions with 21 customers spanning medical and industrial applications. These steps mark tangible progress as Stereax moves closer to scaled commercial deployment.

Progress was also reported on the Goliath programme. Ilika’s 2Ah solid-state prototypes were validated by a customer as being among the leading solutions currently available, while the company commissioned its new 1.5MWh pilot line. In addition, the first 10Ah Goliath prototypes were shipped to customers for evaluation, with management highlighting their potential for significant cost and weight reductions per electric vehicle. This expanded the Goliath evaluation pipeline to 27 customers across the automotive, appliance and defence sectors.

From a financial perspective, Ilika recorded £0.6m in revenue, entirely from grant income, and an EBITDA loss of £3.2m. The group ended the period with £6.9m in cash following a £4.2m fundraising. Management noted that existing DRIVE35 grant funding is expected to be fully utilised in early 2026, while future grant support may be less predictable—an area investors are likely to monitor as the company advances toward full commercialisation and potential gigafactory-scale adoption.

Overall, Ilika’s outlook continues to be shaped by financial pressures and bearish technical signals. However, ongoing strategic progress in solid-state battery technology and deepening engagement with industry partners underpin longer-term growth potential. While valuation remains constrained by negative earnings, recent corporate developments point to the possibility of meaningful improvement over time.

More about Ilika plc

Ilika plc is a UK-based developer and commercialiser of solid-state battery technology, specialising in ceramic-based lithium-ion designs that offer enhanced safety, thermal stability and recyclability compared with conventional batteries. The company focuses on two core product families: Stereax miniature solid-state batteries for medical implants, industrial wireless sensors and specialist IoT uses, and larger-format Goliath cells aimed at electric vehicles and cordless appliances. Its business model centres on intellectual property development, pilot-scale manufacturing and licensing into high-performance markets.

Pharos Energy plc (LSE:PHAR) reported 2025 working interest production of 5,398 boepd, with volumes broadly split between Vietnam at 4,095 boepd and Egypt at 1,303 bopd. The group generated estimated revenue of around $115m during the year, remained debt free, and ended 2025 with approximately $40m in cash following the receipt of a $20m payment from Egypt’s EGPC.

Operational momentum was maintained through progress on a fully funded six-well offshore drilling programme across the TGT and CNV fields in Vietnam, alongside the securing of a two-year exploration extension on Blocks 125 and 126. In Egypt, Pharos agreed improved fiscal terms under a consolidated concession arrangement and completed 3D seismic acquisition at North Beni Suef. The company also continued to return capital to shareholders, paying $6.5m in dividends during 2025 and confirming an interim dividend for the 2025 financial year.

Looking ahead, Pharos has lifted its 2026 production guidance to a range of 5,200–6,400 boepd. The group expects to complete its Vietnam drilling campaign during the year, where appraisal success could increase Vietnamese output by up to 20% and reduce risk around future developments. In parallel, a six-well drilling programme is planned in Egypt, supported by a $50m capital expenditure budget designed to balance growth investment with ongoing shareholder distributions.

Overall, the outlook reflects a combination of steady financial performance and meaningful strategic progress highlighted during the results presentation. While technical indicators point to some bearish momentum, valuation appears reasonable and the dividend yield remains attractive. The continued focus on disciplined growth alongside shareholder returns is viewed as a key positive.

More about Pharos Energy

Pharos Energy plc is an independent energy company listed on the London Stock Exchange, focused on sustainable growth and delivering returns to shareholders. The group operates a portfolio of production, development and exploration assets in Vietnam and Egypt and is cash generative and debt free. Its core assets include offshore oil and gas fields such as TGT and CNV in Vietnam, as well as Egyptian concessions including El Fayum and North Beni Suef, operated in partnership with local entities under enhanced fiscal terms.

Strategic Minerals plc (LSE:SML) has raised £4 million through a placing and subscription involving 307.7 million new shares priced at 1.3 pence. The fundraising attracted interest from UK and overseas institutional investors, family offices and ultra-high-net-worth individuals. In addition, the company issued 7.5 million shares in settlement of adviser fees, taking total voting share capital to approximately 2.68 billion shares.

The net proceeds are earmarked to fast-track development of the Redmoor tungsten–tin–copper project in Cornwall. Plans include a 16,000-metre infill drilling campaign and the expansion of the on-site project team, with drilling expected to begin this quarter. Management said the programme should substantially complete the work required for a prefeasibility study. The company also pointed to supportive market conditions, citing rising tungsten prices, tightening supply, and Redmoor’s position as the highest-grade undeveloped tungsten resource in Europe as key factors underpinning its decision to accelerate progress toward potential production.

Looking ahead, Strategic Minerals’ outlook is supported by positive corporate activity and a marked financial recovery during 2024. That said, technical indicators point to only moderate momentum, while the elevated P/E ratio suggests possible valuation pressure. Limited insight from earnings call disclosures also constrains visibility on near-term management expectations.

More about Strategic Minerals

Strategic Minerals plc is an AIM-quoted international mineral exploration and production company with projects across the UK, the United States and Australia. The group owns 100% of Cornwall Resources Limited and the Redmoor Tungsten–Tin–Copper Project in Cornwall, operates the Cobre magnetite project in New Mexico as a long-term cash-generating asset, and has previously acquired the Leigh Creek Copper Mine in South Australia, reflecting its focus on critical and industrial minerals across multiple jurisdictions.

MobilityOne Limited (LSE:MBO) said its Malaysian remittance subsidiary, OneTransfer Remittance (OTR), has partnered with bKash to roll out real-time mobile money transfers to bKash e-wallets, with the service targeted to go live by 15 February 2026. Under the collaboration, OTR will be able to send remittances directly into bKash accounts through its branch network and mobile application, earning a share of transaction and foreign exchange fees.

The arrangement will also enable wallet-to-wallet transfers along the Malaysia–Bangladesh corridor, a key market given the large population of Bangladeshi workers in Malaysia. Management said the initiative aligns with MobilityOne’s broader strategy to digitise remittance offerings and increase exposure to the rapidly expanding e-remittance segment, where more than 40% of Malaysia’s outward remittances are already conducted digitally. However, the group noted that the financial contribution from the new service is expected to be modest over the coming year.

From an investment perspective, the outlook continues to be weighed down by weak financial metrics, including ongoing losses, pressured margins, negative equity and constrained cash flows. These challenges are partly offset by supportive technical indicators, with the share price trending above key moving averages and a positive MACD signal. Valuation remains mixed, reflecting a negative P/E ratio and the absence of a stated dividend yield.

More about MobilityOne

MobilityOne Limited is a Malaysia-based e-commerce infrastructure and payment solutions provider and is positioned as one of the country’s leading virtual distributors of mobile prepaid reloads and bill payment services. Through licensed subsidiaries such as OneTransfer Remittance (OTR), the group delivers a wide range of regulated fintech services, including e-money, acquiring, remittance, lending and white-label fintech solutions, across mobile wallets, e-commerce platforms, terminals, ATMs, kiosks and online banking channels for clients in banking, telecommunications, utilities, government and transport sectors.

Animalcare Group plc (LSE:ANCR) reported a strong trading performance for 2025, with revenue increasing by around 20% to approximately £89.1m and underlying EBITDA rising by about 50%. Growth was supported by the successful acquisition and integration of Randlab, double-digit sales growth from flagship companion animal brands such as Daxocox, and a significantly expanded equine portfolio, which now contributes close to a quarter of total group revenue.

The company highlighted its resilient balance sheet and healthy cash generation, alongside continued progress across its three strategic priorities of organic growth, mergers and acquisitions, and new product development. Animalcare also pointed to a strengthened R&D pipeline, comprising five core projects, including the VHH NGF antibody programme and a newly licensed equine biologics technology. Management said these initiatives position the group for faster and more sustainable growth, with plans to outline its strategy in more detail at a capital markets event scheduled for March.

Looking ahead, Animalcare’s outlook reflects strong financial foundations and encouraging corporate developments, although valuation metrics are less supportive given a negative P/E ratio. Technical indicators imply moderate upside potential, while the company’s strategic execution and visible director confidence are viewed as key positives.

More about Animalcare

Animalcare Group plc is a UK AIM-listed international veterinary sales and marketing organisation focused on animal health. The group operates across seven European countries as well as Australia and New Zealand, and exports products to around 40 markets globally. It specialises in bringing innovative veterinary medicines and solutions to market for companion, production, and equine animals through internal development, partnerships, and acquisitions.

Senior plc (LSE:SNR) said trading for the year ended 31 December 2025 exceeded earlier expectations, supported by particularly strong performance in its Aerospace division. As a result, the group now expects full-year adjusted profit before tax to come in comfortably ahead of previous forecasts.

During the year, the company implemented targeted cost reductions within parts of its Flexonics operations and completed the initial disposal of its Aerostructures business, generating early cash proceeds. These actions, combined with robust cash generation, have driven a significant improvement in the balance sheet, with net debt reduced to below £80m and leverage falling to under 1.0x EBITDA. In addition, a UK pension buy-in has further reduced financial risk. Management noted that trading in January 2026 has begun positively, reinforcing confidence ahead of the full-year results scheduled for March.

The outlook is underpinned by solid operational execution and favourable corporate developments, including the award of strategic contracts and recent director share purchases, which signal management’s confidence in future growth. That said, market indicators point to some potential downside risks from a technical perspective, while the current valuation suggests moderate pricing and a relatively modest dividend yield.

More about Senior plc

Senior plc is a FTSE 250 international engineering and manufacturing group listed on the London Stock Exchange, with operations across 10 countries. The company designs and produces advanced components and systems for leading original equipment manufacturers in the global aerospace and defence, land vehicle, and power and energy markets. Its stated purpose is to help engineer the transition to a more sustainable world for all stakeholders.

For a long time, Kevin Hassett, one of Trump’s most loyal allies and a staunch advocate of faster interest rate cuts, was considered by many to be the leading candidate to replace Jerome Powell as Fed chair. However, the markets were not very enthusiastic about this idea. Hassett’s appointment would have been seen as a direct blow to the Fed’s institutional independence, which is why the DXY came under pressure.

Last week, though, Hassett’s chances dropped sharply, and a new alternative emerged on the horizon: Kevin Warsh. This came after Donald Trump commented that he values Hassett’s role in the White House and does not want to lose him. Apparently, the president was advised that it would be more difficult for Congress to approve Hassett’s appointment and that the markets would likely react more favorably to Warsh’s nomination.

Would Warsh submit to Trump’s wishes?

Given the US president’s December statement that “anyone who disagrees” with him would never head the Federal Reserve, the answer would appear to be yes. However, although Warsh also favors rate cuts, institutional credibility is not a secondary concern for him. That means Warsh is much less likely to implement policies by presidential order. His decisions would be based on macroeconomic data, not political pressure.

And for now the macro backdrop argues for patience:

Inflation remains contained, albeit persistent, with December CPI meeting expectations at 0.3% month-on-month and 2.7% year-on-year, while core inflation came in below forecasts at 0.2% month-on-month and 2.6% year-on-year.

 On the other hand, the labor market continues to show resilience. Initial jobless claims fell unexpectedly, dropping by 9,000 to 198,000 in the week ending January 10, below the Reuters consensus of 215,000.

This helps explain the strengthening of the US dollar index last week, even despite President Trump’s statements on Greenland and the deterioration of relations with the EU.