MARKET REPORT: The future soars as results favor good reading

It was a good read for shareholders of Marie Claire’s Future publisher, with news of a return to growth and plans for a £55m share buyback.

The company, which also owns price comparison website GoCompare, expressed confidence in meeting market expectations for the current financial year, despite profit for the year to September falling 25 per cent.

This reflected a hit from investment in Future’s growth acceleration strategy, launched in December 2023, which contributed to a drop in the group’s operating profit margin.

Future’s full-year sales were flat, but organic core revenue rose 1 percent, including 5 percent growth in the second half.

Following this financial year, the company expects to achieve accelerated organic revenue growth, in line with market expectations. In response, Future was one of the biggest gainers on the FTSE 250, jumping 9.7 per cent, or 95p, to 1,075p.

The FTSE 100 index rose 0.16 per cent, or 13.57 points, to 8,349.38, while the FTSE 250 was steady at 21,001.06.

Diageo gained on the FTSE 100 as Jefferies analysts raised their rating on the drinks giant to “buy” on confidence in rising spirits sales and a renewed focus on growth, profits and cash under a new heavyweight finance chief.

Traders also boosted insurer Admiral by 3.5 per cent, or 91 pence, to 2,715 pence, as analysts at Deutsche Bank raised its rating to ‘buy’ as part of an upbeat review of the European sector.

They also raised their “buy” rating on Aviva, boosting shares of despised bidder Direct Line by 1.9 per cent, or 9p, to 489.4p.

But Taylor Wimpey was among those that fell, losing 1.1 per cent, or 1.4 pence, to 128 pence after analysts at JPMorgan Cazenove downgraded their rating on the housebuilder to “neutral”, warning of the risk of profits that are coming.

They said builders had endured a turbulent 2024, but maintained an overall positive stance on the real estate sector and see room for it to trend upward in 2025.

Analysts also upgraded two FTSE 250-listed construction companies, with Bellway upgraded to overweight and Crest Nicholson upgraded to neutral. Bellway gained 1.6 per cent, or 40p, to 2,534p, while Crest Nicholson fell 1.5 per cent, or 2.6p, to 169.8p.

Another builder, Vistry – whose demotion from the FTSE 100 was confirmed this week – was upgraded on news that it would build more than 900 homes in east London in a joint venture with the London Legacy Development Corporation.

Vistry rose 0.9 per cent, or 6p, to 664.5p.

Also rising was Wood Group, up 1.3 per cent, or 0.85p, to 65.55p after signing three major deals with BP to provide engineering and project delivery services for its capital projects in everyone.

Among small caps, Brand Architekts soared 95.6 per cent, or 22.7 pence, to 46.7 pence, when it agreed to be acquired by its AIM-listed cosmetics peer Warpaint in a deal £13.9 million.

The bid is backed by Peter Gyllenhammar, a quarter owner of Brand Architekts. Warpaint rose 2.3 per cent, or 12p, to 536p.

But Ebiquity fell 15.6 per cent, or 3.5 pence, to 19 pence, as the media and marketing consultancy said that while its second half had been stronger, the final months of the financial year were not meeting all your high expectations.