MARKET REPORT: One Savings Bank sinks amid mortgage price war

Shares of One Savings Bank (OSB) fell as a mortgage price war took its toll.

The buy-to-let lender expects its net interest margin (a measure of the difference between what it pays customers on deposits and what it generates on loans) to fall this year.

OSB attributed the decline to increased competition in the “moderate” mortgage market and rising deposit costs.

The group also expects its loan book to grow less than expected this year. Shares fell 18.8 percent, or 90.8 pence, to 393.4 pence, their biggest one-day drop since July last year.

The FTSE 100 rose 0.8 per cent, or 66.30 points, to 8,347.35 and the FTSE 250 rose 0.7 per cent, or 141.87 points, to 21,094.16.

Dozens of companies, including Rio Tinto (up 0.8 per cent, or 35.69 pence, to 4,751 pence), Hikma Pharmaceuticals (up 0.5 per cent, or 10.89 pence, to 2,074 pence) and Harbour Energy (up 2 per cent, or 5.51 pence, to 286 pence), traded ex-dividend.

This means that investors who buy shares in these companies from now on will not receive the next payment.

Wizz Air fell 5.8 percent, or 76 pence, to 1,236 pence after Barclays downgraded the airline.

The fight for shopping centre operator Capital & Regional (down 1.4 per cent, or 0.9p, at 65.7p) is set to continue as Newriver and property investment firm Praxis have until September 12 to submit bids for it.

Customer delays have reduced ITM Power’s annual revenue outlook by millions.

The green energy firm had expected sales of between £35m and £40m for the 12 months to April next year but is now targeting between £18m and £22m. Shares fell 6.4 per cent, or 3.7p, to 54.45p.

Gooch & Housego said delays in deliveries to customers and suppliers will impact earnings.

The company, which makes products such as medical eye scanners, expects second-half revenue to be hit, while profits should be £1.5m lower than forecast for the year to the end of September.

It fell 3.4 percent, or 16 pence, to 460 pence.

Cider and beer retailer C&C expects to meet annual forecasts despite the impact of bad weather in June.

The drinks giant behind Bulmers and Tennent’s remains confident of meeting its profit expectations for its current financial year.

It also plans to launch its second share buyback for £13 million from September, helping lift the stock 3.2 percent, or 4.8 pence, to 156.4 pence.

Peter Brotherton is to step down as boss of IT services provider Redcentric after six years as annual results showed revenue rose 15.2 per cent to £163.2m in the year to the end of March, while losses narrowed from £12.5m to £4.7m.

Redcentric fell 0.7 percent, or 1 pence, to 138.75 pence.

Robinson, which makes plastic bottles, jars and containers, has hired a new chief executive. John Melia will join in December.

The company, whose clients include Reckitt Benckiser, Unilever and Fortnum & Mason, reported higher first-half sales, rising 2.4 percent, or 2.5 pence, to 107.5 pence.

Finally, Devon miner Tungsten West appointed Jeffery Court as chief executive to replace Neil Gawthorpe, and rose 10 percent, or 0.25p, to 2.75p.