Accrol Group Holdings (LON:ACRL) have reported a narrowed interim loss in an update to shareholders on Tuesday.

This comes as part of the company’s turnaround plan and restructuring, which seems to have become a success.

In the six months to October 31, the toilet roll and kitchen roll producer saw its pretax loss narrow to £3.0 million from £9.0 million. Gross profit almost doubled to £12.8 million.

Accrol’s interim revenue grew 13% year-on-year to £65.1 million from £57.6 million.

Additionally, shareholders will be pleased that the company’s gross margin rose to 19.7% from the 12% a year before.

Blackburn-based Accrol attributed the improved performance to its recently completed turnaround plan, which began in February 2018.

The firm also lowered its admin costs by 10% to £9.5 million from the previous £10.6 million figure.

Exceptional costs for financial 2020 are expected to be about £1.0 million, down sharply from £7.9 million in financial 2019.

Customer revenue rose 20% year on year, which was miles ahead of market growth at 8% which will certainly stake shareholder appetite.

The company attributed this to its improved product mix. Accrol does not expect similar growth in the second half but does expects its margin to continue to improve.

Acrrol has not paid a dividend to its shareholders, but expects this to occur in the media term as long as performance remains steady and growth occurs.

The firm ended the update by saying that the firm is confident off of meeting market expectations in the second half. The company noted, however, it is “mindful” of the challenges that can arise following major changes to a business.

Comments

“The financial benefits of these changes are now flowing through to the bottom line at an accelerating rate and these first half results show the improving monthly run rate being achieved by the business. With the turnaround complete and a strong management team in place, the board is now focusing on further automation of the group’s operations and strategic opportunities to diversify, scale and grow the business,” the company explained.

Chair Dan Wright said: “Accrol has been completely transformed by the new leadership team and is now a very different organisation. I am proud to say that our talented and experienced people have proved that it is possible to make good returns from tissue conversion, which has historically been viewed as a low margin sector.

“Group margins are returning to pre-IPO levels, as more robust commercial management programmes and operational efficiencies offset substantially higher comparative input costs. What is particularly pleasing is seeing volume growth at over 20% during this transformational business period.”

Rockrose Energy (LON:RRE) have told shareholders that they are set to meet their 2019 production guidance in an optimistic update to shareholders.

RockRose Energy is an independent oil and gas production and infrastructure company.

A Rockrose is a plant that grows in harsh environments with minimal external support. Creating an energy company that is equipped to do business in the harsh environment of sub $50 oil with a minimal cost base was the strategy behind the establishment of Rockrose Energy in 2015.

The firm said that in 2019, a pro forma production was in line with guidance of roughly 19,200 barrels of oil equivalent per day.

Excluding shutdowns and other variables, annual pro forma production was about 20,500 boepd, with about 21,000 boepd produced in December.

Pro Forma production increased by 78%, the company noted as this included a contribution from Marathon Oil (NYSE:MRO).

Average production for 2020 is expected to be around 21,000 which shareholders will be thoroughly impressed with.

This figure reflects a 9.4% rise year on year, and this accounts for planned shutdowns including the Forties pipeline system in mid-June for three weeks.

The company has guided for a dividend of 25 pence per share, giving a total dividend of 85 pence across 2019.

Expenditure in 2019 was $80 million, which was below previous guidance. Another impressive stat for shareholders to be excited about.

For 2020, capital expenditure is guided at about $200 million – which the company said will lead to higher production.

At the year end, total cash was $370.7 million, of which $54.9 million is restricted. Cashflows have been underpinned by enhanced production following completion of the Marathon acquisition and the Company remains debt-free.

Comments

“RockRose is well placed to continue to offer substantial returns to shareholders. We delivered a strong increase in production in 2019, which resulted in significant cash generation. In turn, this enabled us to implement a regular dividend policy to return cash to investors while continuing to invest in projects designed to drive additional future returns,” Executive Chair Andrew Austin said.

Austin added: “We have a busy schedule in 2020, which will see organic growth in our production, and we continue to look at opportunities to deploy our balance sheet strength to make acquisitions that meet our criteria. We look forward to reporting on further progress as the year unfolds.”

North Sea Operations

Fellow operators in the North Sea have been busy as have Rockrose.

This morning, headlines hit that Premier Oil PLC (LON:PMO) have announced that they will be purchasing two North Sea assets from BP PLC (LON:BP).

Premier have said that they will be buying the Andrew Area and Shearwater assets from oil major BP for $625 million.

Andrew Area includes five fields which produce 18,000 barrels of oil equivalent per day. Shearwater in comparison accounts for 25 million barrels of oil equivalent of reserves.

Premier further updated shareholders by saying that it had taken a further 25% more of Tolmount off Dana Petroleum PLC (LON:DNX) for $191 million, and a potential $55 million more.

Although the North Sea exploration market is competitive, it seems that Rockrose are onto a winner here and the firm will hope that trading can continue to be strong across 2020

Shares in Rockrose trade at 1,920p. (+3.82%). 7/1/20 12:30BST.

Aston Martin Lagonda Global Holdings PLC (LON:AML) have seen their shares crash as the firm issued another profit warning to shareholders.

The firm alluded to challenging trading conditions and as the firm continues to review its funding options, shares have crashed.

Aston Martin have seen a tough time of trading, in similar fashion too many global car manufacturers.

The challenging trading conditions disclosed in November continued through the peak delivery period of December, Aston Martin said, resulting in lower sales, higher selling costs and lower margins.

The firm has said that 2019 adjusted earnings before interest, taxes, depreciation and amortisation to come in at a range between £130 million and £140 million.

This would lead to a margin between 12.5% and 13.5%, where as in 2018 adjust EBITDA totaled £247 million.

The firm said that wholesales declined 7% from a year ago, and this figure was 5,809 units.

This was due to a weaker mix of vehicles and lower-than-expected wholesale sales. Americas, UK and Asia-Pacific region performed broadly in-line with volume expectations, while Europe underperformed, the company added.

Sales of its Vantage sports vehicle did improve across the fourth quarter, which is something for shareholders to take, and the orders for the DBX sports utility vehicle has “built rapidly” to 1,800 since it opened in November 2019, it added.

Chief Executive Officer Andy Palmer said: “From a trading perspective, 2019 has been a very disappointing year. Whilst retails have grown by 12%, our best result since 2007, our underlying performance will fail to deliver the profits we planned, despite a reduction in dealer stock levels.

“We are taking a series of actions to manage the business through this difficult period. This will include a cost saving programme alongside a focus on returning dealer stock levels to those more normally associated with a luxury company; winning back our strong price positioning is a key focus.”

A tough year for Aston Martin

At the end of July, the firm posted a half year loss as they saw their shares plunge.

In its half year results for the period ending 30 June, Aston Martin made a pre-tax loss of £78.8 million, swinging to red from the £20.8 million pre-tax profit it had made during the same period the year prior.

“As described in our trading statement on 24 July, both our retail and wholesale volumes have increased year-on-year,” Dr Andy Palmer, Aston Martin Lagonda President and Group CEO, said in a company statement.

Additionally, in November further worry was heightened when they posted a third quarter loss.

Aston Martin said that, for the three months to 30 September, loss before tax amounted to £13.5 million, compared to the £3.1 million profit generated during the same period a year prior.

“Tough trading conditions, particularly in the UK and Europe, persist and whilst retail sales have grown 13% year-to-date, wholesale volumes remain under pressure,” Dr Andy Palmer, Aston Martin Lagonda President and Group CEO, commented on the results.“

“We remain pleased with the performance of DB11 and DBS Superleggera, however, the segment of the market in which Vantage competes is declining, and notwithstanding a growing market-share, Vantage demand remains weaker than our original plans,” Dr Andy Palmer continued.

Aston Martin follows in rival footsteps

The global automotive industry has seen a tough period of trading caused by both political and economic uncertainties.

Suzuki Motor Corp (TYO:7269) slashed its full year sales outlook due to testing overseas sales.

Suzuki, which accounts for roughly half of India’s passenger vehicles through its majority stake in Maruti Suzuki India Ltd (NSE:MARUTI) sold just 305,000 vehicles in India in the quarter, down 32% and its lowest quarterly sales since the December 2014.

Globally, Suzuki posted quarterly sales of 670,000 vehicles, seeing a 20% fall from the year prior.

Additionally, Renault (EPA:RNO) joined the slump when they cut their annual guidance following testing waters.

Renault said it now expects its group revenue to decline between 3% to 4%, “due to an economic environment less favourable than expected and in a regulatory context requiring ever-increasing costs”.

Renault added that its revenue for the third quarter amounted to €11.3 billion, down by 1.6% from the €11.5 billion figure recorded in the third quarter of 2018.

Certainly shareholders of Aston Martin will be worried about this morning’s update, and there will be strong emphasis to turn fortunes around in a market still slumbered with political and economic uncertainty.

Rockhopper Exploration PLC (LON:RKH) have seen their shares spike over 30% as it updated shareholders on a new deal in the Falklands.

Rockhopper saw their shares surge 30% across Tuesday morning, and shares trade at 20p (+34.56%). 7/1/20 11:16BST.

Rockhopper have said that terms have been agreed with Navitas Petroleum (TLV:NVPT.L) who are agreeing to take a 30% stake in the project.

Rockhopper will take hold 30% after the deal, and operator Premier Oil (LON:PMO) will be the biggest holder at 40%.

Rockhopper’s initial costs will be met by a combination of cash and carry loans from the other two firms, and will get $48 million from the two partners in the future depending on development clauses.

The firm hopes for sale and purchase agreement to be signed across the first quarter of 2020.

“This is a very important milestone both for the Sea Lion project as a whole and Rockhopper itself. We will be delighted to welcome Navitas to the Sea Lion project and regard their joining as an important catalyst as well as industry endorsement of Sea Lion’s scale,” said Rockhopper Chief Executive Samuel Moody.

“Discussions are continuing to progress with senior lenders regarding project financing and should be positively supported by the transaction. We will update the market on the progress of those discussions in due course.”

Rockhopper expand following United Oil deal

At the end of December, Rockhopper announced that they will be potentially involved in a deal with United Oil (LON:UOG).

United Oil had said a week prior that they had conditionally raised $6.3 million to part fund their purchase.

United Oil and Gas undertook a conditional equity offer, raising $6.3 million gross through the issue of 159.0 million new shares at 3 pence per share.

Additionally, 150.6 million were conditionally places by brokers Optiva Securities and Cenkos Securities PLC (LON:CNKS).

United have also pledged to issue 114.5 million new shares worth $4.5 million to Rockhopper, these shares will represent 18.5% of United Oil & Gas’s enlarged share capital.

Brian Larkin, chief executive at United Oil & Gas, said: “The Rockhopper Egypt acquisition is a transformational development step for our company. Upon completion of this deal, United will have material production which will generate significant cash flow for reinvestment into the business.”

Premier Oil PLC (LON:PMO) have announced that they will be purchasing two North Sea assets from BP PLC (LON:BP).

Premier have said that they will be buying the Andrew Area and Shearwater assets from oil major BP for $625 million.

Andrew Area includes five fields which produce 18,000 barrels of oil equivalent per day. Shearwater in comparison accounts for 25 million barrels of oil equivalent of reserves.

Premier have said that they will be taking 50% to 100% stake in five Andrew Area fields, and a 28% stake in the Shearwater assets.

Premier added that they intend to raise the funds through a $500 million equity raise, and if needed a $300 million bridge operation.

The equity raise will encompass a share placing and rights issuance, and further details will be announced over the next few weeks.

Premier further updated shareholders by saying that it had taken a further 25% more of Tolmount off Dana Petroleum PLC (LON:DNX) for $191 million, and a potential $55 million more.

Tolmount, a gas field, is expected to come active at the end of 2020.

The firm said that by 2024, they can expect production to be around 100,000 barrels of oil equivalent per day which will beat the 2019 figure of 78,400 per day.

Comments

“These acquisitions are materially value accretive for Premier and are in line with our stated strategy of acquiring cash generative assets in the UK North Sea,” commented Premier Chief Executive Tony Durrant.

“We look forward to realising the significant long-term potential of the Andrew and Shearwater assets through production optimisation, incremental developments and field life extension projects. We are also pleased to have consolidated our interest in the high return Tolmount development where we see material upside. The cash flow generated from the acquired assets will also accelerate the deleveraging of Premier’s balance sheet,” Durrant continued.

“Premier’s strong operational performance in 2019 has generated significant free cash flow for the group enabling us to materially reduce our debt levels and to invest selectively in our portfolio for future growth,” said CEO Durrant.

“The Tolmount development is making good progress and will provide a step up in group production once on-stream at the end of this year. We also look forward to drilling our first well in Alaska, a potentially transformational well for Premier.”

Premier period of trading

The firm saw its shares climb at the start of November as it lifted its production forecast, and with the new purchases shareholders will be further pleased.

Average production was 79,400 barrels of oil equivalent per day for the 10 months to October end, up from 77,700 barrels in the comparative year ago period, underpinned by continued high operating efficiency of 94%.

Chief executive Tony Durrant commented on the results, “We continue to deliver on our strategic priorities. We are generating significant free cash flow, which is materially deleveraging our balance sheet.

“At the same time, we are actively managing our portfolio and selectively progressing growth projects at the right exposure. We also continue to create value through the drill bit and to build material new positions in emerging exploration plays at low cost.”

Certainly, significant progress has been made since the November announcement, and 2020 has started in good step for the firm.

As a result, the firm has seen its share spike on the announcement.

Shares of Premier jumped 14.54% to 116p. 7/1/20 10:55BST.

Morrisons (LON:MRW) have reported that their sales have fallen in their update dating to January 5.

The firm said that challenging trading conditions coupled with consumer uncertainty were the largest contributors to the slump in sales.

Morrison’s said that said like-for-like sales, excluding fuel, were down 1.7% year-on-year.

Additionally the decline was further accelerated by a fall in retail sales, as a like for like performance in the wholesale unit remained flat.

Notably, fuel sales declined 2.8% year on year across the 22 weeks period, and total sales dipped 2.9% but the figure totaled 1.8% without fuel sale considerations.

Shareholders should be not so concerned, as the firm said reiterate its full year guidance.

Morrisons said that pretax profit before exceptional costs should remain within the forecasts made by both analysts and market forecasts.

The firm ends its financial year on February 2, and shareholders will be keen to see annual reports in what seems to have been a tough year of trading for British retail.

The company said: “We managed costs well throughout the period, offsetting some of the impact on like-for-like sales of the challenging trading conditions and continued uncertainty amongst customers.”

Morrisons added “Throughout the period, trading conditions remained challenging and the customer uncertainty of the last year was sustained,”

During the 22 weeks, Morrisons said that they closed four underperforming stores, but this was offset by the opening of four new ones.

Morrisons explained: “The new stores include Canning Town, which is our first store with a Market Kitchen food-to-go offer, and Bolsover, our first smaller, community store format.”

Additionally, the company also recently sold a store in London to Berkeley Group Holdings (LON:BKG) in a reported £120 million deal.

On this deal, the firm said “Berkeley will pay £85 million in stages over the years of the project, and will build a new Morrisons supermarket and convenience store on the site at a cost to Berkeley of around £35 million.”

Chief Executive David Potts comments

“It was encouraging that during an unusually challenging period for sales, our execution was strong and our profitability robust, demonstrating the broad-based progress we have made during the turnaround.

“This was again down to the hard work of Morrisons exceptional team of food makers and shopkeepers. As always, we will take some learnings into the new year, and look forward to 2020 with a strong plan and solid foundations on which to continue to grow.”

Political uncertainty hits British supermarkets

Morrisons joined Walmart (NYSE:WMT) owned Asda in citing political and economic uncertainty as a contributor to slowing sales.

Asda said its gross profit rate fell, reflecting price markdowns in clothing following a slow summer season versus last year.

The fall in gross profit rate, plus increased operating expenses, meant operating income was also lower.

“This quarter has afforded consumers little respite from political or economic uncertainty and this has shown in their spending,” said Chief Executive Roger Burnley.

Morrisons follow in same step as rivals

Morrisons have followed in the same step as rivals in seeing their profits decline in what seems to be a very volatile period of trading.

At the start of November, rival Sainsbury’s (LON:SBRY) revealed a decline in profits in its half year results.

The firm said that, for the 28 weeks to 21 September, underlying profit before tax declined by 15% to £238 million, compared to the £279 million figure recorded for the same period the year prior.

Retail sales (excluding fuel) were down 0.6% and like-for-like sales (excluding fuel) were down 1%.

Shareholders of Sainsbury would have been compensated when the firm later that week revealed it had struck a wholesale deal with Coles (ASX:COL).

Sainsbury’s said: “The agreement with Coles marks a key milestone in Sainsbury’s strategy to build its wholesale business, with a number of partnerships already in place in Asia, Europe and the UK.

Greg Davis, Coles chief executive of commercial and express, said: “We want to accelerate the introduction of innovative products to Coles own brand, and this partnership allows us to do that with a range of food and groceries that are already proven in the international market but not yet available in Australia.”

Additionally, Marks and Spencer (LON:MKS) saw their profits plunge in November, which saw shares in red.

Chief Executive Steve Rowe alluded to several factors which had caused the slump including blamed the 5.5% decline in like-for-like clothing sales in the first six months of its financial year on supply chain problems and buying errors that meant popular sizes quickly sold out in store and online.

M&S reported a 17% decline in pre-tax profits of £176.5 million on sales of £4.9 billion.

M&S said the store closures would reduce clothing sales by 2% rather than the 3% previously thought but warned that its profit margins would come under pressure in the second half.

It seems that shareholders have not been too concerned about the performance of Morrisons as shares have remained in green, however there will be a hope that fortunes can be turned around.

Shares in Morrisons spiked 2.55% to 197p on Tuesday morning. 7/1/20 10:37BST.

Sirius Real Estate (LON:SRE) have updated the market on the purchase of two new business parks in Monday.

The firm said that they had acquired two retail parks in Germany in a deal valued at €33.4 million.

Neuss II

The Neuss II asset, located roughly 9.5 kilometres from the Dusseldorf city centre, offers 34,000 square metres of space and is 82% let.

The property is located on Fuggerstrasse in Neuss, 9.5 km south of Düsseldorf city centre. Sirius already owns an 18,000 per square meter office building in Neuss and two other business parks in Düsseldorf.

The firm added that this park produces an annual rental income of €1.3 million, reflecting an average rate of €3.84 per sqm, and has a remaining WALT of 4.4 years.

The property was acquired from a regional family real estate office for €19.1 million.

Neuruppin

Secondly, the firm announced the purchased of Neuruppin Business Park, which provides 22,400 sqm of net lettable space (12,600 sqm of production space, 7,200 sqm of warehouse space and 2,600 sqm of offices), together with 169 parking spaces on a total plot size of 108,200 sqm

The Company has now completed €98 million of the €170 million in acquisition capability that was set out in its Interim Results announced on 25 November 2019.

Chief Executive Officer Andrew Coombs comments

“The last month has been particularly successful on the acquisitions front providing us with some great assets which have good value add potential that can be realised next year and beyond.

“Neuss ll fits well with our strategy of buying assets at low capital values, with low average rents compared to the local market and located around key German cities. It offers us a good opportunity to add significant value by playing to the strengths of our integrated business model and track record of maximising occupation and growing rental levels.

“The Neuruppin property, which is 100% let to a tenant with a strong covenant with a WALE of 5.5 years and an EPRA net initial yield of 8.6%, is a very good acquisition, particularly when you take into account the tenant’s potential plans to expand in the area as well as the further opportunity to develop vacant parcels of land within the site.”

Sirius continue to perform in competitive market

At the end of November, the firm saw its shares rise on an increased payout. For the six months ended September, net asset value per share rose 7.3% to 76.18 euro cents from 71.01 cents six months earlier.

Operating income rose 9.4% to €39.5 million from €36.1 million the year before.

Pretax profit widened 1.9% to €79.7 million from €78.2 million the year prior, helped by investment properties revaluation gains rising 3.6% to €58.2 million from €56.2 million the year before.

The results are certainly impressive, and in a market where competitors such as Intu (LON: INTU) seem to be struggling, after they sold off a retail park to rival NewRiver Reit (LON: NRR).

Intu sold off Lisburn Retail Park for £40 million to NewRiver Reit at the end of November, and holds tenants such as Sainsbury’s (LON: SBRY) and B&Q, owned by Kingfisher PLC (LON: KGF).

Sirius Real Estate shareholders can remain optimistic on 2020 trading, the company clearly has a vision and strategy for expansion which will excite shareholders.

Shares in Sirius trade at 91p, rising 1.33% across Monday trading. 6/12/19 14:32BST.

Mattioli Woods plc (LON:MTW) have given the market a positive update on Monday morning, alluding to revenue growth and strong performance.

The firm is a leading provider of wealth management and employee benefit services with multiple offices throughout the UK, and holds its headquarters in Leicester.

Mattioli Woods said that it had returned to revenue growth in the first half of its financial year, with a rise in fees and investment related revenue.

The firm has conducted a company restructure which contributed to the impressive performance.

At November 30, its cash was valued at £20.0 million and its gross discretionary assets under management came to £2.7 billion.

Ian Mattioli, Chief Executive of Mattioli Woods, comments:

“I am pleased to report a return to revenue growth in the first half of this financial year, with increases in direct SSAS and SIPP fees and investment-related revenues. We have achieved this despite continued market and political uncertainty, albeit this uncertainty resulted in lower net inflows into the Group’s bespoke investment services than in the equivalent period last year.

“We are dedicated to maintaining our culture of putting clients first, developing our service offering and building a business that is sustainable over the long term. Supporting this, we have driven some further margin improvement, with additional efficiencies and cost savings realised following a planned restructure of our client facing operations and the migration of acquired pension portfolios onto our bespoke MWeb administration platform. These changes have been designed to enhance client service and experience, receiving positive feedback both internally and from clients.

“We have continued to progress our strategic initiatives, including the further development of our own IT solutions where possible. In December 2019, we were pleased to announce the acquisition of The Turris Partnership Limited, which is based in Glasgow, provides chartered financial planning and wealth management advice to clients, and has over £65 million of assets under advice. This followed the acquisitions of SSAS Solutions (UK) Limited and Broughtons Financial Planning Limited in the prior financial year, which are integrating well and contributed positively to our trading results since acquisition.

“Consolidation within both wealth management and SIPP administration is expected to continue, and we will seek to build on our track record of successful acquisitions by continuing to assess opportunities that meet our strict criteria.

“We continue to deliver solid investment performance across both portfolios and funds, with the team at the Group’s associate company, Amati Global Investors, gaining further recognition through the Amati AIM VCT (LON:AMAT) being named Best VCT at Investment Week’s Investment Company of the Year Awards in November 2019.

“We plan to build on the progress achieved in the first half over the remainder of this financial year. Events such as the suspension of the Woodford Equity Income Fund and the M&G Property Portfolio are likely to drive an increased demand for the holistic planning and expert advice we provide, and I anticipate greater client activity and increasing inflows into our bespoke investment services following the definitive general election result last month.

“We continue to invest in our people, technology and infrastructure as we look to build upon our success to date. Clients need long-term advice and strategies more than ever before and we will continue to provide quality solutions, maintaining our focus on client service and continuing to adapt our business model to the changing wealth management marketplace, integrating asset management and financial planning.

“Our profit outlook for the year is in line with management’s expectations and I believe we remain well-positioned to grow, both organically and by acquisition, to deliver sustainable shareholder returns.”

The firm is expecting to announce its interim results for the six months ended 30 November 2019 on Tuesday, 4 February 2020.

Shares of the firm trade at 804p (-1.29%). 6/1/20 14:07BST.