London open: Blue chips flat

19th Jan 2011 08:46

London has made a flat start as investors mull over a stack of results and trading updates. Publishing giant Pearson leads the pack after the FT owner said 2010 earnings will be ahead of previous guidance, as all of its major businesses sustained their strong trading momentum throughout last year. The firm expects full year operating profits to come in around 20% higher than 2009's level, at about £850m. Bookmaker William Hill is another high flyer as it confirmed full-year results would be at the top end of expectations as strength in the online business and gaming machines during the fourth quarter made up for weather-hit sports fixtures.Pub chain JD Wetherspoon grew like for like sales by more than expected during the second quarter despite the snow and predicts a "reasonable" outcome for the full year. Property giant Land Securities reports good lettings across its London and Retail portfolios over the past three months. Voids in the like-for-like portfolio were down 5.7% in the quarter to December (5.9% in the previous three months).Cobham has paid €78m (£65.5m) for a privately-owned German company that makes advanced bomb disposal robots and threat response vehicles. Banks have been unsettled by comments from the head of the banking commission, Sir John Vickers. Sir John is expected to outline a range of ways in which the operations of the big "universal banks" could be overhauled and forced to ring fence their component parts, the FT reports. Barclays and RBS are lower.Comet did record business between Christmas and New Year, but that wasn't enough to offset a dismal start to December which means full-year profit at owner Kesa Electricals' will be toward the lower end of expectations. Total revenue for the group was up 0.4% in the third quarter, but down 4% on a like for like basis because of "difficult market conditions". Poor weather is estimated to have sliced 2% off sales. Rapid expansion at its international businesses helped online fashion group ASOS rack up more big sales over the Christmas period. Revenue in the three months to end December overall rose by 59% to £100m, with a 156% improvement overseas to £43.7m.