ADVFN UK Market News

Category: Top Story

  • Shell names PwC as incoming auditor, ending EY mandate in 2027

    Shell names PwC as incoming auditor, ending EY mandate in 2027

    Shell (LSE:SHEL) announced on Friday that it has appointed PricewaterhouseCoopers (PwC) as its next external auditor, with the firm set to assume the role from 2027 after the conclusion of a formal tender process.

    PwC will replace EY, whose audit work at the energy group has come under scrutiny. In December, the UK’s Financial Reporting Council opened an investigation into EY’s audit of Shell’s 2024 accounts, focusing on possible breaches of audit partner rotation requirements.

    Shell had already flagged regulatory issues last July, disclosing that rules obliging listed companies to rotate lead audit partners every five to seven years, as well as enforce cooling-off periods before partners can return to the same client, had not been fully complied with.

    At the time, the company said it would need to restate its 2023 and 2024 annual reports after EY failed to meet U.S. Securities and Exchange Commission standards on partner rotation. Shell emphasized that the revisions would be technical in nature and would not affect the underlying financial results.

  • European Markets Rebound as Stocks Climb Despite Mixed Economic Data: DAX, CAC, FTSE100

    European Markets Rebound as Stocks Climb Despite Mixed Economic Data: DAX, CAC, FTSE100

    European equities pushed higher on Friday, regaining ground after ending the previous session largely in negative territory.

    Germany’s DAX advanced about 0.5%, while the UK’s FTSE 100 rose 0.2% and France’s CAC 40 edged 0.1% higher as investors weighed fresh economic data alongside company-specific news.

    On the macro front, figures from Destatis showed German industrial production fell sharply in December, sliding 1.9% month on month after a 0.2% increase in November. The decline was significantly steeper than expectations for a modest 0.2% drop. On an annual basis, output contracted by 0.6%, reversing a 0.5% rise recorded the previous month.

    In France, data from the customs office indicated a widening trade gap at the end of the year. The country’s foreign trade deficit increased to €4.8 billion in December from €4.0 billion in November, exceeding forecasts for a shortfall of around €4.1 billion, as imports outpaced exports.

    At the stock level, Vinci (EU:DG) shares jumped after the infrastructure and construction group reported full-year results that exceeded market expectations. Vinci posted net income attributable to shareholders of €4.90 billion for 2025, or €8.65 per share, up from €4.86 billion, or €8.43 per share, a year earlier.

    By contrast, Metlen Energy & Metals (LSE:MTLN) came under heavy pressure after warning that its 2025 EBITDA is now expected to be around 25% lower than previously targeted, despite what it described as solid performance across its core business divisions.

  • European Equities Edge Lower as Earnings Drive Moves; Stellantis Hit by Strategy Shift: DAX, CAC, FTSE100

    European Equities Edge Lower as Earnings Drive Moves; Stellantis Hit by Strategy Shift: DAX, CAC, FTSE100

    European stock markets were mostly weaker on Friday, with investors continuing to digest a heavy run of corporate results as a packed week—featuring major central bank decisions—neared its end. By mid-morning, Germany’s DAX was up 0.3%, while France’s CAC 40 slipped 0.3% and the UK’s FTSE 100 eased 0.2%.

    Earnings remained the main focus across the region, with updates from several large-cap names shaping sentiment. Shares in Stellantis (BIT:STLAM) dropped sharply after the carmaker announced it expects to book around €22.2 billion in charges as it scales back its electric vehicle strategy in response to softer demand. The group said the bulk of the write-downs relate to revisions to its product roadmap, reflecting much lower assumptions for EV sales. Following the reset, Stellantis now anticipates a net loss of €19–21 billion in the second half of 2025 and confirmed that dividend payments will be suspended.

    Elsewhere in the banking sector, Société Générale (EU:GLE) lifted its profitability target for the year after reporting a stronger-than-expected fourth-quarter performance, supported by higher revenues and tighter cost control. In Italy, utility group Enel (BIT:ENEL) said its 2025 ordinary net income came in slightly above the top end of guidance at €6.90 billion, ahead of a capital markets day scheduled for later this month.

    Other notable movers included weight-loss drugmaker Novo Nordisk (NYSE:NVO), whose shares rose after the US Food and Drug Administration warned it could take action against “illegal copycat drugs.” In the mining sector, Rio Tinto (LSE:RIO) and Glencore (LSE:GLEN) confirmed late Thursday that they had ended discussions over a potential megamerger that would have created the world’s largest mining company.

    On the macro front, fresh data underlined the uneven nature of Germany’s economic recovery. Exports jumped 4.0% month on month in December, well ahead of expectations for a 1% rise, but industrial production disappointed, falling 1.9% over the same period. In the UK, figures from mortgage lender Halifax showed house prices rose 0.7% in January and were 1.0% higher than a year earlier.

    Central banks were also in focus, with both the European Central Bank and the Bank of England leaving interest rates unchanged on Thursday, in line with market expectations.

    In commodities, oil prices edged higher on Friday but remained on track for their first weekly decline in almost two months. Brent crude rose 1.3% to $68.43 a barrel, while US West Texas Intermediate gained 1.4% to $64.20. Despite the rebound, Brent was heading for a weekly loss of 3.3% and WTI for a drop of 1.8%, as traders weighed the outcome of US-Iran talks scheduled for later in the day.

    Markets have been hopeful that discussions between Washington and Tehran could help ease tensions in the Middle East and reduce the risk of wider conflict. That optimism has led investors to strip some geopolitical risk premium out of crude prices this week, despite Iran’s status as a major oil producer and its proximity to the strategically vital Strait of Hormuz.

  • FTSE 100 Falls as Pound Firms; Rio–Glencore Talks End and Victrex Shares Slide

    FTSE 100 Falls as Pound Firms; Rio–Glencore Talks End and Victrex Shares Slide

    UK equities opened lower on Friday, extending losses from the previous session, while sterling strengthened against the dollar and European markets weakened on the back of disappointing earnings. The FTSE 100 was down around 0.5% by mid-morning, while the pound rose 0.2% to roughly $1.357. Across Europe, the STOXX 600 slipped 0.2%, Germany’s DAX edged up 0.1%, and France’s CAC 40 fell 0.7%, reflecting uneven regional sentiment.

    Elsewhere in Europe, shares in Stellantis NV plunged more than 18% after the carmaker disclosed around €22.2bn of charges for the second half of 2025, adding to broader pressure on equity markets.

    In UK corporate news, Rio Tinto (LSE:RIO) confirmed it is no longer considering a merger or business combination with Glencore (LSE:GLEN). The decision brings an end to speculation over a potential tie-up as major miners position themselves for strategic shifts in 2026. Analysts note that, even without a deal, the sector is expected to pursue portfolio reshaping and other strategic moves as critical minerals such as copper, gold and lithium take on greater importance in national security and energy transition strategies.

    Shares in Victrex (LSE:VCT) fell more than 7% after the company reported a 6% year-on-year decline in first-quarter revenue. Victrex posted revenue of £62.4m for the three months to 31 December 2025, compared with £66.6m a year earlier. Sales volumes fell 4% to 858 tonnes, while average selling prices eased 2% to £73 per kilogram, reflecting softer demand across several end markets.

    HgCapital Trust (LSE:HGT) reported a net asset value per share of 561.9p at 31 December 2025, delivering a 2.2% return for the fourth quarter. The trust said its portfolio companies achieved last-twelve-months revenue growth of 17% and EBITDA growth of 20% as of the end of November, with the EBITDA margin improving slightly to 34%.

    On the macro front, the Bank of England voted 5–4 on Thursday to keep interest rates unchanged, striking a more dovish tone that has shifted some market expectations toward a possible rate cut as early as March, although consensus still points to the second quarter. Markets are finding it difficult to fully price in two 25 basis point cuts this year, with political uncertainty also in focus. Analysts at ING said sterling could come under pressure, with EUR/GBP supported around the 0.8670–0.8680 area and a bias toward 0.88 over the coming month.

  • Everyman Media Bolsters Leadership With CFO Appointment and Interim Creative Director Role

    Everyman Media Bolsters Leadership With CFO Appointment and Interim Creative Director Role

    Everyman Media Group (LSE:EMAN) has strengthened its senior management team with the appointment of Sheree Manning as Chief Financial Officer and the elevation of long-standing non-executive director Charles Dorfman to Interim Creative Director with executive responsibilities. Manning brings more than two decades of senior finance and leadership experience, including roles at National World and other major media and retail groups, and is due to join the board later in February. Outgoing finance director Will Worsdell will remain in post until mid-March to support a smooth transition.

    Dorfman’s move into an executive creative position draws on his extensive background in cross-media production and investment. Interim chief executive management said the change is designed to strengthen Everyman’s creative proposition while supporting the group’s next stage of growth, reflecting a dual focus on tighter financial discipline and differentiated content as the company continues to expand its premium cinema estate across the UK.

    From a market perspective, the outlook is shaped primarily by financial performance. While there are signs of potential recovery through improving revenues and cash generation, the business continues to face challenges linked to high leverage and a lack of profitability. Technical indicators point to a bearish trend, and valuation metrics suggest the shares may be undervalued, largely reflecting ongoing financial risk.

    More about Everyman Media Group

    Everyman Media Group is a leading UK independent premium cinema and entertainment operator, running a growing portfolio of venues that combine cinema exhibition with in-house hospitality. The group differentiates itself through a curated mix of mainstream and independent films, live theatre and concert screenings, high-quality food and drink, and intimate venues designed as destination spaces within local communities.

  • Blencowe Confirms Broad, Shallow Graphite Mineralisation at Orom-Cross Iyan

    Blencowe Confirms Broad, Shallow Graphite Mineralisation at Orom-Cross Iyan

    Blencowe Resources Plc (LSE:BRES) has released a second set of assay results from 12 shallow drill holes at the Iyan deposit within its Orom-Cross Graphite Project in Uganda. The latest data confirm thick, near-surface graphite mineralisation, with multiple intersections exceeding 30 metres from surface and several holes ending in mineralisation, pointing to further depth potential.

    The results support Iyan’s positioning as a bulk blending deposit with higher-grade zones, underpinning the case for low-strip, efficient mining and future resource growth. They also advance the company’s plans to expand scale ahead of an updated JORC resource estimate, which is expected in the first quarter of 2026. Blencowe said further assay results from the nearby Beehive deposit are still to come and are expected to play a role in refining mine planning, funding discussions, and potential offtake agreements.

    Strategically, the findings strengthen Orom-Cross’s credentials as a potential long-life source of critical graphite at a time when Western markets are seeking to diversify supply away from China. From a market perspective, the company continues to face financial challenges, with no revenue, ongoing losses, and increased cash burn in 2025. However, technical indicators remain supportive, with the share price in a clear uptrend and positive momentum, while valuation remains difficult to assess due to negative earnings and the absence of dividend data.

    More about Blencowe Resources Plc

    Blencowe Resources Plc is a London-listed natural resources company focused on developing the Orom-Cross Graphite Project in Uganda. The project targets large-scale, near-surface graphite deposits intended to deliver long-life, low-cost supply to global battery and industrial markets seeking secure sources of critical minerals outside China.

  • European Shares Trade Mixed as Earnings Season Continues Ahead of ECB and BOE Decisions: DAX, CAC, FTSE100

    European Shares Trade Mixed as Earnings Season Continues Ahead of ECB and BOE Decisions: DAX, CAC, FTSE100

    European equity markets showed mixed performance on Thursday as investors assessed overnight declines on Wall Street alongside a fresh wave of corporate earnings releases, while attention remained fixed on upcoming monetary policy announcements from the European Central Bank and the Bank of England.

    At 08:05 GMT, Germany’s DAX index slipped 0.2% and the U.K.’s FTSE 100 declined 0.4%, while France’s CAC 40 advanced 0.6%.

    Corporate results dominate market focus

    Global investor sentiment has been pressured by growing concerns over the escalating costs tied to artificial intelligence infrastructure, which contributed to a sharp sell-off in U.S. technology shares overnight and losses across major Asian markets earlier in the day.

    Alphabet signalled late Wednesday that its capital expenditure could potentially double this year, reflecting another significant increase in spending by Google’s parent company as it expands investment to overcome computing capacity limitations and strengthen its position in the AI sector.

    Meanwhile, European investors continued reviewing earnings from several major regional corporations.

    Energy giant Shell (LSE:SHEL) reported adjusted earnings of $3.26 billion for the fourth quarter, representing a decline from $3.7 billion recorded a year earlier and marking the company’s weakest quarterly performance in nearly five years.

    Danish shipping group Maersk (TG:DP4A) announced fourth-quarter operating profit broadly aligned with market expectations but warned that declining freight rates, combined with ongoing industry pressures, could negatively impact earnings in 2026.

    BNP Paribas (EU:BNP) lifted its profitability targets for 2028 after fourth-quarter profit climbed 28%, with France’s largest bank expecting structural cost savings and a supportive interest rate environment to accelerate future earnings expansion.

    Banco Bilbao Vizcaya Argentaria (LSE:BVA) reported net profit of €2.53 billion for the fourth quarter, representing a 4% increase from €2.43 billion a year earlier, supported by loan growth in Spain and Mexico that helped offset higher credit provisions.

    Siemens Healthineers (TG:SIE) posted strong first-quarter results, with robust demand for imaging technology and cancer treatment equipment helping to offset weaker performance in its diagnostics division and the impact of currency fluctuations.

    ECB and BOE policy decisions in focus

    Outside the corporate sphere, German industrial orders increased 7.8% in December compared with the previous month, significantly outperforming expectations for a 2.2% decline.

    The European Central Bank is widely expected to leave interest rates unchanged at 2% later in the day, marking a fifth consecutive meeting without a rate adjustment. However, the sharp decline in eurozone inflation during January may present new challenges for policymakers.

    Recent data showed eurozone consumer price inflation slowed to 1.7% year-on-year in January, down from 1.9% in December.

    Similarly, the Bank of England is expected to hold its benchmark rate steady at 3.75% later in the session, with analysts pointing to persistent inflation risks despite signs of softening labour market conditions.

    Oil prices fall as U.S.-Iran talks ease supply fears

    Crude oil prices dropped sharply on Thursday after the United States and Iran agreed to hold diplomatic talks in Oman on Friday, easing concerns about potential military escalation that could disrupt energy supply in the region.

    Brent crude futures for April delivery fell 1.5% to $68.39 per barrel, while U.S. West Texas Intermediate crude declined 1.6% to $64.10 per barrel.

    Both oil benchmarks had climbed roughly 3% on Wednesday amid concerns that negotiations between the United States and Iran might collapse.

    Despite the planned discussions, uncertainty remains, with concerns that U.S. President Donald Trump could still proceed with previously issued threats to strike Iran, the fourth-largest oil producer within the Organization of the Petroleum Exporting Countries, potentially triggering broader instability in the region.

  • Vodafone Reports Q3 Revenue Growth and Maintains Upper-End FY26 Profit and Cash Flow Outlook

    Vodafone Reports Q3 Revenue Growth and Maintains Upper-End FY26 Profit and Cash Flow Outlook

    Vodafone (LSE:VOD) reported group total revenue of €10.5 billion for the third quarter of FY26, representing a 6.5% year-on-year increase, while service revenue rose 7.3% to €8.5 billion. Growth was primarily driven by strong performance across African markets, continued momentum in Türkiye and the consolidation of Three UK and Telekom Romania into group results.

    Germany returned to modest service revenue growth during the quarter, while UK performance recorded a small, expected decline, largely reflecting prior-year one-off factors. On an organic basis, service revenue increased 5.4%, while group Adjusted EBITDAaL rose 2.3% organically for the quarter and 5.3% year-to-date.

    Vodafone confirmed it expects to deliver results at the upper end of its full-year FY26 guidance ranges for profit and cash flow. However, operating profit declined significantly during the period, primarily due to non-cash accounting impacts associated with mergers and acquisitions activity linked to the company’s restructuring in India.

    Management highlighted continued progress integrating the VodafoneThree UK business, which is expected to strengthen the company’s competitive position in the UK market. The group also reported ongoing double-digit organic growth across its African operations, supported in part by expanding financial services offerings.

    Vodafone maintained a strong focus on shareholder returns, completing €3.5 billion of share buybacks and confirming plans to increase its FY26 dividend per share. The company said these capital return initiatives reflect confidence in its medium-term cash flow outlook despite near-term accounting pressures.

    Vodafone’s outlook combines strategic progress and positive operational momentum with some financial and valuation challenges. Strong technical trading trends and positive earnings sentiment provide support, while ongoing integration activities and corporate developments strengthen long-term growth potential.

    More about Vodafone

    Vodafone Group Plc is a multinational telecommunications provider offering mobile, fixed-line, broadband and digital connectivity services across Europe, the UK, Türkiye and Africa. The company serves both consumer and enterprise customers, including wholesale connectivity and expanding financial services solutions in African markets. Vodafone has recently strengthened its UK market position through the integration of Three UK operations as part of its broader strategic transformation.

  • Shell Earnings Slip on Weaker Prices but Strong Cash Flow Supports Higher Shareholder Returns

    Shell Earnings Slip on Weaker Prices but Strong Cash Flow Supports Higher Shareholder Returns

    Shell (LSE:SHEL) reported fourth-quarter 2025 income attributable to shareholders of $4.1 billion, representing a significant increase year-on-year but a decline compared with the previous quarter. The quarter-on-quarter reduction reflected unfavourable tax adjustments, lower marketing margins, reduced realised commodity prices and higher operating costs.

    Adjusted earnings dropped 40% compared with the prior quarter and declined 22% for the full year to $18.5 billion. Adjusted EBITDA also fell 15% to $56.1 billion, primarily due to weaker liquids and liquefied natural gas prices, softer trading and optimisation performance, and reduced chemicals margins. These pressures were partly offset by stronger production volumes, lower operating costs and supportive tax impacts.

    Shell generated operating cash flow of $9.4 billion during the fourth quarter and $42.9 billion for the full year. Annual free cash flow reached $26.1 billion after capital expenditure of $20.9 billion. Net debt increased to $45.7 billion, with gearing rising to 20.7%, largely reflecting strong shareholder distributions.

    The company returned $5.5 billion to shareholders during the fourth quarter through a combination of dividends and share buybacks. Shell also announced a new $3.5 billion share repurchase programme, reinforcing its commitment to returning capital to investors despite softer earnings and cash flow compared with 2024.

    Strategically, Shell highlighted $5.1 billion in structural cost savings achieved since 2022 and continued investment across its portfolio. The company recently approved final investment decisions for Australia’s Gorgon Stage 3 integrated gas development and Nigeria’s HI gas project, supporting future growth in upstream production and LNG capacity despite a weaker pricing and margin environment.

    Shell’s outlook reflects a stable financial position supported by strong operating margins and a resilient balance sheet. Attractive valuation metrics and positive investor sentiment following recent results provide additional support. However, technical trading indicators suggest potential short-term weakness, while slower revenue and cash flow growth remain key risks to monitor.

    More about Shell

    Shell plc is a global energy company operating across the oil, natural gas and liquefied natural gas value chains, alongside expanding investments in electricity and lower-carbon energy solutions. The company produces, processes and trades hydrocarbons, supplies fuels and lubricants globally, and continues to develop integrated gas, chemicals and cleaner energy projects to serve industrial, commercial and retail customers worldwide.

  • BT Group Achieves Record Fibre Adoption as Revenue Declines but Outlook Remains Intact

    BT Group Achieves Record Fibre Adoption as Revenue Declines but Outlook Remains Intact

    BT Group (LSE:BT.A) has reported continued progress in expanding its UK digital infrastructure and customer base, with its full fibre broadband network now reaching 21.4 million premises, including 5.9 million in rural communities. Record numbers of fibre-to-the-premises (FTTP) connections pushed Openreach’s customer take-up rate above 38%, reflecting strong demand for higher-speed connectivity services.

    The group also recorded further expansion in its mobile business, with its 5G customer base rising to 14.3 million users. Enhanced 5G+ coverage now reaches 69% of the UK population. BT reported growth across its Consumer segment, with increases in broadband, mobile and TV customers, while EE maintained its position as the UK’s highest-rated mobile network across multiple independent performance assessments.

    Despite the operational progress, BT reported that adjusted group revenue for the third quarter declined 4% year-on-year to £5.0 billion, while adjusted EBITDA slipped 1% to £2.1 billion. The decline reflected ongoing reductions in legacy voice services, weaker handset and device sales, and the impact of previous business disposals. Reported profit before tax also fell, partly due to losses linked to the company’s sports joint venture.

    Management highlighted continued progress in cost transformation initiatives, including lower labour and energy consumption and improvements in customer satisfaction. BT also confirmed completion of all planned disposals within its International division. The company reiterated that it remains on track to meet its full-year guidance and expects to deliver substantial growth in free cash flow over the medium term.

    BT’s outlook reflects solid operational and financial execution, supported by strategic transformation efforts and positive corporate developments. However, technical trading indicators suggest weaker share price momentum. Valuation metrics indicate relatively balanced pricing, supported by an attractive dividend yield.

    More about BT Group plc

    BT Group plc is one of the UK’s leading telecommunications providers, operating through its Openreach, Consumer, Business and International divisions. The company delivers fixed and mobile connectivity services, including full fibre broadband and 5G mobile networks, alongside television and digital services under brands such as EE, BT and Plusnet. BT continues to focus on expanding next-generation network infrastructure and providing integrated communications solutions for residential, commercial and public sector customers.