CVS Group Share News (CVSG)

LONDON (Alliance News) - Stock prices in London are called for a positive start on Friday, following Asian markets higher after progress was reported in talks between the US and China. IG futures indicate the FTSE 100 index is to open 28.7 points higher at 7,263.03. The blue chip index closed up 40.14 points, or 0.6%, at 7,234.33 on Thursday. US and Chinese trade teams on Friday resumed negotiations in Beijing to end months-long trade frictions.Chinese Vice Premier Liu He welcomed US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin at a government guesthouse in Beijing for the second and last day of talks.Liu is scheduled to travel to Washington next week, as the top officials continue negotiations over issues such as intellectual property protection, the amount of imports, forced technology transfers and government subsidies.The two teams will "spare no effort" in carrying negotiations meant to end a months-long trade war, Chinese Commerce Ministry spokesman Gao Feng said Thursday.Market sentiment was boosted by a report by Reuters saying the two countries have made "unprecedented" progress on the thorny issue of technology transfer. "Reports China made unprecedented offers regarding technology transfers, in addition to other sticking points is adding to optimism both negotiating teams are on the right track. US economic advisor Larry Kudlow advised the talks may last some time," said London Capital Group's Jasper Lawler."This could have hit the markets in a negative capacity. However, his suggestion some tariffs on Chinese imports could be removed sweetened the blow immensely."In the US on Thursday, Wall Street ended higher, with the Dow Jones Industrial Average closing up 0.4%, the S&P 500 also up 0.4%, and the Nasdaq Composite ending up 0.3%. The Japanese Nikkei 225 index closed up 0.8%. In China, the Shanghai Composite ended up 3.2%, while the Hang Seng index in Hong Kong is up 1.0%.In UK corporate news, AstraZeneca is planning a USD3.5 billion equity placing as part of a USD6.9 billion collaboration agreement with Daiichi Sankyo.The global development and commercialisation agreement covers the potential cancer treatment trastuzumab deruxtecan.Under the agreement, Astra will make an upfront USD1.35 billion payment to Daiichi Sankyo, half due on execution and half 12 months later, followed by contingent payments of as much as USD5.55 billion for a total of up to USD6.9 billion.Of the USD5.55 billion, USD3.80 billion will be paid out to the Japanese company for regulatory milestones and USD1.75 billion will be for sales-related milestones.The upfront USD1.35 billion payment and near-term milestones are to be covered by a new equity placing to raise approximately USD3.5 billion - more than half of which will be used to fund the transaction and ongoing collaboration.Micro Focus has reiterated guidance given in February for its current financial year, seeing "further moderation of revenue decline". Micro Focus expects constant currency revenue for the 12 months to October to fall by between 4% and 6%, compared to a 7.1% decline in its last year. Elsewhere, life insurer Chesnara has increased its annual dividend despite a big profit fall, paying a final dividend of 13.46 pence. This takes its 2018 total to 20.67p, 3% higher year-on-year.Pretax profit dropped to GBP27.0 million from GBP89.6 million, after a one-off gains the year prior, while comprehensive income has declined to GBP23.7 million from GBP86.9 million, again due to one-off gains the prior year as well as swing to a foreign exchange loss.Cash generation was strong, Chesnara said, at GBP47.8 million, up from GBP28.6 million.Its solvency ratio was 158%, from 146% year-on-year, showing the firm is "well capitalised". Chesnara's outlook is positive, it said, with the UK business in particular doing well. Veterinary group CVS reported 24% growth in revenue to GBP195.1 million for the six months to December, but pretax profit slumped 74% to GBP1.6 million. Like-for-like revenue rose 4.0%.On an adjusted basis, pretax profit fell to GBP17.4 million from GBP18.3 million. Profit has been hurt by a steep rise in administrative expenses. CVS said the result was "disappointing", and the effort going forward will be to ensure organic revenue growth, improve the gross margin, and review costs. Floor coverings firm James Halstead reported a 3.3% rise in pretax profit for the six months to 2018 to GBP24.5 million, with revenue flat at GBP126 million. James Halstead has increased its interim dividend by 3.9% to "a record" 4.0p per share. Profit was helped by an increase in higher value product sales as well as "favourable" plant performance, though was tempered by a rise in raw material prices.Looking ahead, James Halstead said its second half has started well, and the outlook is confident overall.Waste-to-energy firm Renewi has warned earnings before interest and tax at its ATM hazardous waste treatment plant will fall by around EUR25 million for its year ending March 2020, as it is assuming no shipments will be made.Overall, trading in its year ending Sunday has been in line, with the Dutch Commercial Division doing well in particular. Integration activity is on track to deliver savings of EUR30 million for the year. Renewi has extended its bank covenants to June 2020, one year on from before, and will be paying a 0.5p final dividend, giving a total of 1.45p, lower from 2.1p year-on-year. Independent News & Media reported a 2.1% drop in 2018 revenue to GBP191.0 million, with pretax profit falling 15% to GBP24.1 million.This profit performance was ahead of market expectations, the media firm said, and Independent News & Media is confident it is heading in the right direction. Revenue fell due to an 8.8% decline in advertising revenue, as well as a 6.3% fall in circulation.Fuller, Smith, & Turner said the UK competition authority has raised no questions over its beer business sale to Japan's Asahi for GBP250 million, announced January. Stockbroker Numis said trading in recent weeks has improved, though revenue for its first half ending March is set to fall 26%. It has made "strong" market share gains in Corporate Broking & Advisory, though UK equity market volumes have declined "materially". "Notwithstanding the improvement in trading in recent weeks, execution of our pipeline will likely be influenced by the evolving political outlook and the associated impact on our corporate and institutional clients," said Numis.UK Prime Minister Theresa May is battling to get her Brexit Withdrawal Agreement backed by the Commons on the day that was scheduled to see Britain quit the EU.The prime minister split the legally binding treaty segment of her Brexit deal from the declaration on future relations with the EU in order to ensure MPs could vote on it on Friday.But May faced an uphill struggle as key government allies the DUP joined Labour leader Jeremy Corbyn in saying they would vote against the move.The PM's decision to present just the Withdrawal Agreement to the Commons means it is not a third attempt to pass a "meaningful vote" on the government's Brexit deal and complies with rules laid down by Commons Speaker John Bercow."Westminster will remain in focus as there is talk MPs will be asked to vote on the withdrawal agreement, but not the 'political declaration'", said David Madden at CMC Markets UK. "Should the vote take place, it stands a slim chance of being passed as the DUP are staunchly opposed to prospect of Northern Ireland being treated differently to Great Britain post Brexit, and if the DUP vote it down, the anti-EU ERG are likely to follow suit."UK consumer confidence remained negative in March, a monthly survey showed on Friday, though fears over the general economy persist.The GfK UK Consumer Confidence Index reading for March was minus 13, the same as February's score. A year ago, however, the reading had been minus 7."Against a backdrop of stable inflation and a robust labour market, where wages continue to grow more quickly than prices, confidence has remained negative but fairly stable since the referendum," said Joe Staton, client strategy director at GfK, a market research company."However, while UK consumers report a small increase in optimism for their personal financial situation for the coming year, the index is being dragged down by our nagging fears for the general economy," he noted. "Things might change when people feel the current crisis has passed but what sort of resolution can consumers reasonably contemplate just now? Or are consumers rightly sensing a bumpier economic climate for post-Brexit Britain?"The economic events calendar on Friday has France's inflation readings at 0745 GMT, German unemployment figures at 0855 GMT and UK fourth-quarter GDP data at 0930 GMT. In the afternoon there is US personal spending data at 1230 GMT, including the core personal consumption expenditure index reading - the Fed's preferred inflation measure.