The FTSE 100 has traded down to its lowest level of the week this morning, with pharmaceuticals and miners the two worst-performing sectors. The pound is pretty much flat on the day and remains above the 1.32 handle against the US dollar.
CRH shares receive boost from earnings
The latest trading update from CRH (LON:CRH) has sent shares higher by more than 2%, and the solid if unspectacular results show a good level of performance for the first half of the year. Unlike many other firms in the building business, CRH has shown very little by the way of ill effects in the wake of the EU referendum, with the Dublin-based company not even mentioning the B-word in this latest publication.
A 35% increase in sales, which has contributed to a more than doubling of earnings before interest, tax, depreciation and amortisation (EBITDA) to €1.12 billion euros reflects the strong performance, and with shares gaining more than 35% already this year, there's a lot to like about the stock at present. A 1.6% rise in the interim dividend will also be warmly welcomed by investors, who have enjoyed a good run of late and can look forward optimistically.
Shareholders can hope for further gains on the back of this robust report which also shows a strong focus on cash management, with the deleveraging taking place leaving the firm better positioned to cope with any adverse effects in the future.
At the foot of the index is Hikma Pharmaceuticals (LON:HIK) which is lower by more than 5% after declining yesterday following an earnings release. A tough week for mining stocks hasn’t gotten any easier today, with Glencore (LON:GLEN), Antofagasta (LON:ANTO) and Anglo American (LON:AAL) all declining.