Category: Market News

British outsourcing company Capita plc (LSE:CPI) on Tuesday maintained its full-year guidance despite reporting a 4.5% revenue decline in the first five months of 2025.

The company expects broadly flat revenues for the full year with a small increase in operating margin and a free cash flow outflow of £45-65 million, according to a trading update.

Capita’s performance is expected to be weighted toward the second half of the year, particularly given the known headwinds in its Contact Centre business, which saw a 21% revenue drop in the first half.

The company also faces timing challenges between cost savings and increased expenses from pay reviews and additional National Insurance Contributions.

Despite these challenges, contract awards have been strong with Total Contract Value (TCV) up 24% to £969 million compared to the same period last year. Year-to-date TCV won in Capita Public Service increased by over 70%, offsetting a 49% reduction in the Contact Centre business.

Across business segments, Capita Public Services revenue grew 2.3%, while Regulated Services increased 6.4%, benefiting from a one-off termination exit fee and deferred income release from a contract in the Mortgage Software business.

Pension Solutions revenue declined 1% as the completion of short-term contracts offset new wins.

The company has achieved £185 million in annualized cost savings and remains on track to deliver its target of £250 million in annualized savings by December 2025.

Capita continues to expect positive free cash flow from the end of 2025 and maintains confidence in delivering its medium-term margin guidance of 6-8%.

The company is also making strategic progress in embedding technology, including transformative AI solutions to drive efficiency, with more details expected in its upcoming H1 results.

British shares opened in the red on Tuesday as tensions in the Middle East escalated, following Israel’s announcement of the killing of Iran’s armed forces chief of staff.

By 07:26 GMT, the FTSE 100 index had declined 0.7%, while the British pound slipped 0.2% against the US dollar, trading just above 1.35. European markets also felt the impact, with Germany’s DAX dropping 1.5% and France’s CAC 40 down 1.1%.

Corporate Updates:

• Ashtead Group PLC (LSE:AHT) forecasted rental revenue growth for the year to be between flat and 4%, citing ongoing weakness in the U.S. commercial construction sector as a headwind.
• Legal & General Group PLC (LSE:LGEN) confirmed its 2025 group core operating profit growth guidance of 6% to 9%, consistent with its longer-term targets extending through 2028.
• ASOS PLC (LSE:ASOS) announced the appointment of Aaron Izzard as its new Chief Financial Officer. Izzard, currently the company’s director of group finance, will succeed Dave Murray, who is stepping down on June 30 to pursue new opportunities.
• Morgan Sindall Group PLC (LSE:MGNS) raised its annual pre-tax profit outlook, attributing the boost to robust growth in its construction and fit-out businesses.

Gold prices remained steady in Asian trading Tuesday, holding below the $3,400 per ounce mark as traders digested mixed signals around the Israel-Iran conflict and awaited clarity on U.S. Federal Reserve policy.

Spot gold inched up 0.2% to $3,392.25 an ounce, while August gold futures edged down 0.2% to $3,410.70 by 01:12 ET (05:12 GMT). The metal had surged past $3,450 on Monday before retreating sharply amid reports of potential ceasefire talks.

Geopolitical Tensions Offer Support, But Uncertainty Lingers

Volatility in bullion markets was driven by conflicting developments in the Middle East. While initial reports suggested Iran might be open to a ceasefire, Tehran later rejected any truce while under Israeli fire. Heightening tensions, U.S. President Donald Trump warned that “everyone should immediately evacuate Tehran,” sparking fears of deeper U.S. involvement.

Despite Trump’s warnings, White House officials clarified that the U.S. does not plan to intervene militarily. However, according to Axios, U.S. and Iranian officials are quietly exploring renewed dialogue on both a ceasefire and Iran’s nuclear program. No formal meeting date has been confirmed.

Market Outlook Turns Cautious

Gold’s rally has lost steam amid the uncertainty. Analysts at Citi warned that prices could slip below $3,000 per ounce in the coming quarters as safe-haven demand wanes and investor interest begins to fade.

Fed Decision Looms Over Broader Metals Market

The broader metals complex remained under pressure ahead of the Federal Reserve’s upcoming policy announcement on Wednesday. While no rate changes are expected, markets are watching closely for forward guidance from Fed Chair Jerome Powell.

In other metals trading:

• Platinum futures dipped 0.1% to $1,239.90/oz, continuing a modest pullback after recent strong gains.
• Silver futures rose 0.2% to $36.503/oz.
• Copper prices also softened, with London futures down 0.4% to $9,674.75 per ton and U.S. contracts holding steady at $4.8163 per pound.

A softer dollar provided little support to metals, as traders remained cautious ahead of the Fed’s decision and the ongoing geopolitical uncertainty in the Middle East.

Following the UK’s Strategic Defence Review 2025, RC Fornax PLC (LSE:RCFX) has provided a trading update highlighting increased engagement with potential customers and promising partnership opportunities. Despite this positive momentum, the company anticipates short-term challenges as delayed customer spending and slower-than-expected contract conversions are expected to result in full-year 2025 revenues falling below market forecasts.

To address these issues and position the business for future growth, RC Fornax has undertaken organizational changes, including appointing a new Sales Director and restructuring internal teams to better align with market demands. While near-term performance faces pressure, the company remains confident in its longer-term outlook, bolstered by strategic hires and strengthened client relationships.

About RC Fornax PLC

RC Fornax PLC, listed on the AIM market, specializes in delivering outcome-based engineering solutions tailored to the UK defence sector. Founded in 2021 by RAF veterans Paul Reeves and Daniel Clark, the company is dedicated to enhancing project efficiency and delivering cost-effective value within defence programs.

Vinanz Limited (LSE:BTC) has successfully secured £3.579 million in new funding, consisting of £3.029 million raised through a Retail Offer and an additional £550,000 from direct subscriptions. The company plans to issue 4 million new ordinary shares priced at 13.75 pence each, with the shares expected to be admitted to trading on the London Stock Exchange on 24 June 2025.

This capital injection strengthens Vinanz’s financial foundation and supports its strategy to expand Bitcoin mining operations throughout North America. The company leverages third-party hosting facilities in the US and Canada as part of its growth plans.

About Vinanz Limited

Vinanz Limited is a Bitcoin treasury company listed on the London Stock Exchange (ticker: BTC.L) and also traded on the US OTCQB market under the symbol VINZF. The company focuses on building a strategic Bitcoin portfolio alongside expanding its mining capacity across North America.

At its recent AGM, Warpaint London PLC (LSE:W7L) shared optimistic projections for the first half of 2025, expecting sales to reach between £50 million and £52 million. This positive outlook comes despite challenges in its US segment, which has been affected by increased tariffs. Looking ahead, the company anticipates substantial growth in the second half of the year, fueled by fresh product launches and a robust Christmas order pipeline. The February 2025 acquisition of Brand Architekts is also expected to contribute meaningfully to this expansion.

Warpaint London’s financial position remains strong, with a debt-free balance sheet and a healthy cash reserve. The company has declared a final dividend of 7.5 pence per share, signaling confidence in its ability to meet market expectations for the full year.

This combination of record sales, strategic acquisitions, and solid financial management underpins a positive outlook for Warpaint London. Stable technical indicators and reasonable valuation metrics further reinforce this sentiment.

About Warpaint London

Warpaint London PLC is a specialist color cosmetics supplier with well-known brands such as W7, Technic, Skin & Tan, Super Facialist, Dirty Works, and Fish Soho. The company’s products are sold primarily in the UK and international markets through major retailers, distributors, and the gifting sector. The brand portfolio was expanded in February 2025 with the acquisition of several health, beauty, and personal care brands.

Zinnwald Lithium plc (LSE:ZNWD) has announced a fundraising initiative targeting a minimum of £3 million through the issuance of new ordinary shares. The capital raise, which involves participation from existing investors as well as a retail offer, is designed to support critical activities at the Zinnwald Lithium Project in Germany. Proceeds will be allocated toward permitting, reducing project risks, securing property rights, expanding the team, and covering working capital needs—key steps to drive the project forward.

Despite facing financial challenges marked by ongoing losses and no current revenue, Zinnwald Lithium benefits from strong technical momentum and recent positive corporate developments. However, valuation concerns and financial risks continue to weigh on the company’s investment appeal. Notably, the company’s progress in obtaining government backing and enhancing exploration efforts offers potential upside, provided these advances lead to improved financial performance.

About Zinnwald Lithium plc

Zinnwald Lithium plc is focused on establishing itself as a prominent supplier of lithium hydroxide to Europe’s burgeoning battery market. The company’s flagship asset, the Zinnwald Lithium Project in Germany, is strategically positioned to meet the growing lithium demand driven by the electric vehicle and energy storage industries.

Atlas Metals Group plc (LSE:AMG) has entered into a non-binding Letter of Intent to acquire Universal Pozzolanic Silica Alumina Ltd, an Australian company with substantial reserves of pozzolanic silica alumina. If finalized, this acquisition would qualify as a reverse takeover under UK Listing Rules and could significantly reshape Atlas’s operational and strategic direction.

In tandem with this move, Atlas has agreed to divest its Gold Ridge project in Arizona. This sale reflects the company’s broader effort to streamline its portfolio by shedding non-core assets and redirecting focus toward high-impact growth opportunities through targeted acquisitions.

Together, these actions mark a decisive step in Atlas Metals’ evolution toward becoming a diversified and globally positioned natural resources player.

About Atlas Metals Group plc

Atlas Metals Group plc is a growth-oriented natural resources company focused on building a global presence in the mining sector. The company’s strategy centers on acquiring and developing high-potential assets while divesting non-core holdings to maximize shareholder value. Atlas is listed on the London Stock Exchange and is actively expanding its portfolio through strategic transactions.

Panther Metals Plc (LSE:PALM) has finalized two option and purchase agreements that pave the way for the creation of the Winston Project—a high-grade zinc, copper, and precious metals volcanogenic massive sulphide (VMS) asset located in Ontario, Canada. The agreements consolidate key properties from First Quantum Minerals Ltd and Frontier Energy Ltd, strengthening Panther’s foothold in a mineral-rich region.

Financial projections for the project are robust, with expectations of generating an average annual EBITDA of C$67.64 million and a pre-tax net present value (NPV) of C$175.8 million. The Winston Project benefits from established infrastructure and promising exploration potential, enhancing its viability and attractiveness as a long-term growth driver.

With this development, Panther Metals positions itself to unlock significant shareholder value through focused exploration and development in one of Canada’s most prospective mining jurisdictions.

About Panther Metals Plc

Panther Metals Plc is a mineral exploration company focused on advancing high-grade base and precious metal projects in Canada. Its primary interest lies in volcanogenic massive sulphide (VMS) deposits, particularly those rich in zinc, copper, and precious metals. The company is listed on the London Stock Exchange’s AIM market.

Seascape Energy Asia plc (LSE:SEA) has been granted full ownership of the Production Sharing Contract (PSC) for the Temaris Cluster Small Field Asset, located offshore Peninsular Malaysia. This award marks a major milestone for the company, as it takes on its first development operatorship—a critical move in expanding its regional footprint and operational capacity.

The Temaris Cluster includes two confirmed gas discoveries, Tembakau and Mengkuang, both of which are expected to help address an anticipated gas shortfall in Peninsular Malaysia. Seascape plans to pursue a cost-effective development approach using existing capital reserves and intends to submit a comprehensive Field Development and Abandonment Plan within the next 18 months.

With projected production potential exceeding 20,000 barrels of oil equivalent per day, this project positions Seascape as an emerging force in Malaysia’s oil and gas industry, with significant upside in the region’s evolving energy landscape.

About Seascape Energy Asia plc

Seascape Energy Asia plc is an exploration and production company focused on developing hydrocarbon assets across Southeast Asia. With a strategic emphasis on Malaysia, the company is working to build a diverse and high-impact portfolio through operational excellence and targeted acquisitions in key growth markets.