Maitland/AMO Morning Monitor – Tuesday 5 May 2020

5th May 2020

Politics today

  • Matt Hancock has announced the pilot of the new NHS app to track COVID-19 infections will begin on the Isle of Wight starting today
  • At 1.30pm the European Union Committee will hold a virtual meeting to discuss the progress of UK-EU future relationship negotiations
  • At 2pm the Environment, Food and Rural Affairs Committee will hold a virtual meeting to discuss COVID-19 and the impat

Stock market moves

  • Shares in Hong Kong are higher today as the Hang Seng gains 0.81%.
  • European markets finished broadly lower on Monday with shares in France leading the region. The CAC 40 is down 4.24% while the DAX is down 3.64%.
    The Eurostoxx 600 and FTSE100 have both opened down.
  • US oil prices have risen again for the fifth day in a row as global storage concerns have eased.

Corporate announcements

* Maitland Client

Anglo American PLC Anglo American Platinum ramps up ACP plant to restart refined PGM production
  • Anglo American Platinum has safely and successfully completed the repair of the Anglo Converter Plant (ACP) Phase B unit.
  • The ACP and full downstream processing operations are completing a safe ramp-up and expect to be fully operational from 12 May 2020.
  • Natascha Viljoen, CEO, said: “We have carried out substantial testing to ensure the stability of the ACP Phase B unit, and as we complete the ramp-up, we are engaging with suppliers of concentrate to lift force majeure imminently. All temporary commercial arrangements applicable during the force majeure period will revert to normal commercial terms.”
Carnival PLC P&O Cruises Extends Pause in Operations
  • P&O Cruises has announced an extended of its voluntary pause in operations in Australia and New Zealand to August 31, 2020, in response to continuing travel restrictions due to the impact of COVID-19.
  • Guests whose cruises have been impacted by the extended pause in operations are eligible for a full refund or a future cruise credit equal to the cost of their original cruise plus an onboard credit offer.
  • Travel agent commission will be fully protected for bookings paid in full as at May 4, 2020 and those cancellations that occurred within the final payment date.
  • Sture Myrmell, President, said: “In the confident knowledge that cruising will be back, this is an opportunity to update our guests on the latest itinerary plans and to thank them for their understanding and support during this period of uncertainty.”
John Laing Group PLC Divestment Update
  • John Laing Group PLC is pleased to announce that it has completed the sale of its 30% interest in Auckland South Corrections Facility to AMP Capital for a price in-line with the Group’s latest valuation.
  • Luciana Germinario, CFO, said: “We have a strong pipeline of high-quality assets becoming available for sale over the next 12 months, including IEP East and our Australian wind and solar portfolio. While the impact of recent events on secondary markets remains to be seen, our strong balance sheet gives us flexibility and leaves us well positioned to maximise value.”
RHI Magnesita N.V. Q1 2020 Trading Update
  • Trading activity in the Steel Division remained weak in Europe and South America, largely offset by a robust performance in North America.
  • The Industrial Division continued to perform well, particularly in Cement. Overall, demand levels were similar to the final quarter of 2019 with EBITA slightly ahead, in line with management expectations.
  • The trading environment has become increasingly challenging in Q2 as a result of COVID-19, with a significant slowdown in customer activity and fall in order book levels, as expected.
  • The overall impact of COVID-19 and, in particular, the extent and the duration of its effects on the global economy and our business, and the speed of economic recovery remain very uncertain.
LondonMetric Property PLC Trading Update and Notice of Results
  • EPRA Earnings per share is 9.3p (2019: 8.8p), driven by a 24% increase in Net Rental Income to £116m.
  • 92% of rental payments due by 1 April have been collected or are being collected monthly.
  • Like for like income growth for FY 2020 was 4% on the standalone LondonMetric portfolio. Asset management initiatives added £5m p.a. of additional contracted rent in the year.
  • The board of directors and certain key employees are waiving 20% of salaries and fees for three months, providing additional funds to LondonMetric’s wider COVID-19 charity giving.
Wizz Air Holdings PLC April 2020 Traffic AND CO2 Emission Statistics
  • Wizz Air has operated 71 cargo flights with medical equipment as well as 28 rescue flights since the breakout of the COVID-19 pandemic.
  • Operations were resumed from Wizz Air’s bases in London Luton and Vienna on 1 May with flights to selected destinations.
  • Wizz Air operated with 57.2 grams per passenger/km for the rolling 12 months to 30 April 2020. For the month of April, emissions in grams per passenger/km were 9.9% higher due to the drop in load factor, while total CO2 emissions in tonnes decreased in line with capacity.