London: Unilever, BSkyB, Astrazeneca

Arthi Gupta, Mayank Mehta and Sanjay Barot
29 Apr, 2010
New York City

In nervous trading U.K. stocks closed higher as positive earnings lifted select stocks. Unilever Plc, BSkyB and AstraZeneca gained on higher earnings. Mortgage approvals increased 4.6% in March and home prices in April increased as higher demand.

[R]4:00 PM London, 11:00 AM New York – In nervous trading U.K. stocks closed higher as positive earnings lifted select stocks. Unilever Plc, BSkyB and AstraZeneca gained on higher earnings. Mortgage approvals increased 4.6% in March and home prices in April increased as higher demand.[/R]

U.K. stocks rose after Unilever, British Sky Broadcasting Plc and AstraZeneca Plc reported rising profits. The pledge by the U.S. Federal Reserve to keep rates low for the foreseeable future and Germany, EU and the IMF work to speed up the emergency loan assistance to Greece.

ECB Governing Council member Axel Weber said Thursday the impact of any Greek debt default on other states would be ""incalculable"" and urged quick approval of an aid package to prevent market debt crisis from spreading to other nations.

U.K home prices jumped higher than expected as the property supply shortage persisted, Nationwide Building Society said. The average cost of a home rose 1% from March to 167,802 pounds or $254,000.

U.K. mortgage approvals rose 4.6% in March from the previous month to 34,905, the British Bankers’ Association said on April 27.

A U.K. employment index showed recruitment may outpace job cuts this quarter for the first time since 2008 as companies benefit from the economic recovery.

While the net balance of private companies expecting to add jobs was 29%, the net balance of government-related employers expecting to shed staff jumped to 43%, the highest level since records began in 2004, according to the Chartered Institute of Personnel and Development and KPMG LLP.

In London FTSE 100 Index closed higher 14.06 or 0.25% to 5,600.67 and the pound edged higher to close at $1.527 and to close at €1.152.

Gainers & Losers

AstraZeneca PLC added 2.6% to 2,912.00 pence after the biopharmaceutical company said first quarter revenues rose 12% to $8.6 billion from $7.7 billion a year ago. Net profit for the quarter rose 29% to $2.78 billion or $1.90 per diluted share compared to net profit of $2.15 billion or $1.48 per share a year ago.

BG Group plc added 1.1% to 1,120.00 pence after the natural gas company said first quarter revenues rose 5% to $4.5 billion from $4.3 billion a year ago. Net profit for the quarter fell 5% to $960 million or 28.2 cents per diluted share compared to net profit of $1.0 billion or 29.8 cents per share a year ago.

British Sky Broadcasting Group plc gained 3.1% to 615.00 pence after the pay television service provider said nine months revenues rose 10% to £4.4 billion from £4 billion a year ago. Net profit for the nine months rose 221% to £542 million or 31.0 pence per diluted share compared to net profit of £169 million or 9.7 pence per share a year ago.

Cobham plc rose 0.6% to 265.90 pence.

Galiform Plc rose 4.5% to 81.00 pence.

The Go-Ahead Group plc fell 1.4% to 1,451.00 pence. The bus and train firm today said London businesses, operated mileage increased by nearly 10% and revenue was up approximately 3% with the first half acquisition of East Thames Buses adding around 7% to the mileage and revenue growth.

HMV Group plc declined 6.4% to 74.00 pence. The music retailer reported group total sales rose 1.8%, including like-for-like sales down 4.3%.

Kazakhmys PLC rose 2.1% to 1,409.00 pence after the copper miner posted quarterly production of 78.4 kilo tons copper cathode equivalent from own material and is on track to achieve annual target.

McBride plc rose 0.2% to 201.50 pence. Group revenues in the four-month period have increased by 2% against the comparable period last year both on a reported and constant currency basis.

Taylor Wimpey plc climbed 3.4% to 42.85 pence after the UK home prices of private homes are up by approximately 9% from 2009, of which around 5% results from active changes in mix and approximately 4% from underlying price increases.

Unilever plc added 3.3% to 1,981.00 after the supplier of consumer goods said first quarter revenues rose 6% to €10.1 billion from €9.5 billion a year ago. Net profit for the quarter rose 33% to €973 million or €0.34 per diluted share compared to net profit of €731 million or €0.25 per share a year ago.

Whitbread PLC dropped 2.6% to 1,541.00 pence after the hotel and restaurant chain said 2009 revenues rose 8% to £1.44 billion from £1.33 billion a year ago. Net profit for the year rose 75% to £161 million or 92.16 pence per diluted share compared to net profit of £91.8 million or 52.76 pence per share a year ago.

William Hill PLC dropped 1.3% to 200.20 pence.

FTSE 100 Index Movers

Of the stocks in the FTSE 100 index, 88 increased, 13 declined and 1 were unchanged.

BP Plc decliners in the FTSE 100 index with a loss of 6.46% followed by losses in Whitbread Plc of 2.84%, in Imperial Tobacco Group Plc of 2.16%, in British American Tobacco Plc of 1.12%, and in Royal Dutch Shell Plc of 0.98%.

InterContinental Hotels Group Plc led gainers in the FTSE 100 index with a rise of 5.32% followed by increase in British Sky Broadcasting Group Plc of 5.20%, in Eurasian Natural Resources Corporation of 4.41%, in Standard Life Plc of 4.24%, and in Kazakhmys Plc of 3.84%.