Friday April 18, 02:11 PM
Sector movers: UK Coal brightens downbeat mining sector
LONDON (ShareCast) - The ever volatile mining sector is in one of its down phases today, in which context the zero change in the share price of UK Coal (LSE: UKC.L - news)
could be regarded as an impressive performance. The company said today that pre-tax profit grew almost four-fold in 2007, as expected, and believes higher coal prices will boost revenue significantly this year. Profit before tax for year ended 31 December 2007 soared to £69m from £17.6m in 2006 on revenue down just over 3% to £328.5m. Net assets per share rose 46% to £2.28. The firm blamed the revenue slip on the sale of its Maltby deep mine in February last year, a period of low production at Daw Mill due to additional safety works and the planned face change it managed in the second half. However, the group is estimating a 2008 average realised sale price of £1.75 to £1.80 per gigajoule (GJ) compared with £1.62 in 2007, giving revenue a real fillip in 2008. Mines output in the first quarter of the new financial year was restrained though by face changes at Kellingley, Thoresby and Welbeck, with production for the period the sames as last year at 1.7m tonnnes. "In Harworth Estates, we have also delivered further good progress in both the current value of our portfolio and in its substantially greater estimated future value with the benefit of the planning permissions we are currently pursuing," said chairman David Jones. "With a positive outlook for all our businesses, we face the current financial year with considerable confidence." GNE Group, an owner, operator and developer of petrol retailing sites in the UK, has confirmed it is in talks that could lead to a bid for the group. The shares blasted to a 12-month high on the news, though they continue to languish well below the 600p+ level attained in 2000, the year after the company floated on AIM. Bosses said they will continue to evaluate all possible options for delivering value to shareholders.
Top performing sectors so far today
Automobiles & Parts 4,765.70 +3.16%
Mobile Telecommunications 3,553.20 +3.13%
General Retailers 1,522.70 +2.94%
Fixed Line Telecommunications 2,875.30 +2.64%
Life Insurance (LINS.PK - news) 5,063.50 +2.07% Bottom performing sectors so far today
Forestry & Paper 4,521.30 -2.33%
Gas, Water & Multiutilities 4,495.20 -0.58%
Industrial Metals 9,541.30 -0.54%
Electricity 7,675.40 -0.33%
Mining 26,921.20 -0.14%
|
Send Article by Email
