London open: Retailers advance after updates

14th Apr 2011 08:28

The top share index has moved slightly lower after yesterday's gains but retailers are on the rise as they update the market.Out-of-town home furnishings retailer Dunelm posted a fall in like-for-like sales in the quarter to 2 April and said conditions are likely to remain tough. However, it added that it is continuing to win market share and that price increases were helping it to lift margins. The shares move higher.Electrical specialist Dixons Retail's decision to withdraw from Spain due to the weak consumer environment in the Mediterranean country has been applauded. It will close its 34 PC City stores in Spain having suffered continuing losses, it said.Department store Debenhams posted a rise in profits for the half year to 26 February and said that a focus on value - possibly assisted by a fall in cotton prices - should help it to cope with tough economic conditions. Pre-tax profits of £129.2m before exceptional items were up 4.5% from the same period the previous year and in line with market expectations, the company said. Interim results from newsagent WH Smith were in line with expectations, with like for like sales down 6% on the high street and 3% lower in the group's travel outlets. Profit before tax edged up to £64m from £62m the year before, despite the fall in group revenue to £686m from £716m. More evidence of the threadbare state of the UK consumer's wallet came from consumer goods outfit PZ Cussons, which said trading conditions in the UK remain challenging. Elsewhere in Europe, trading conditions in Greece and Poland have also been challenging, but the picture is a lot rosier in Asia, which "continues to perform strongly," the group said, even though the Australian consumer environment has got tighter. As a whole, the group has been trading broadly in line with management expectations in 2011, despite margin pressures from burgeoning raw material costs.Residential housing specialist Grainger said it expects completed sales from its UK portfolio in the six months to 31 March 2011 to be £89m from £88m the year before as tough economic conditions continue. The group, which is headquartered in Newcastle upon Tyne and manages properties in the UK and Germany, said profit before tax for the six month period will be materially enhanced by two items, firstly the partial reversal of mark to market movements on its long term financial derivatives and secondly by the gain on acquisition arising from the purchase of HI Tricomm. FTSE 100 - RisersJohn Wood Group (WG.) 672.50p +1.43%ITV (ITV) 76.20p +1.13%InterContinental Hotels Group (IHG) 1,293.00p +0.94%National Grid (NG.) 604.00p +0.83%3i Group (III) 263.80p +0.80%Amec (AMEC) 1,164.00p +0.78%Capita Group (CPI) 711.50p +0.57%Unilever (ULVR) 1,939.00p +0.57%Inmarsat (ISAT) 613.00p +0.57%Rexam (REX) 379.10p +0.56%FTSE 100 - FallersReckitt Benckiser Group (RB.) 3,174.00p -5.70%BAE Systems (BA.) 327.80p -1.92%Eurasian Natural Resources Corp. (ENRC) 917.00p -1.45%Antofagasta (ANTO) 1,388.00p -1.28%Standard Chartered (STAN) 1,634.50p -1.21%Vedanta Resources (VED) 2,320.00p -1.19%BHP Billiton (BLT) 2,511.00p -1.14%Rio Tinto (RIO) 4,362.50p -1.04%ARM Holdings (ARM) 592.00p -1.00%Lloyds Banking Group (LLOY) 60.10p -0.96%FTSE 250 - RisersBalfour Beatty (BBY) 340.80p +3.12%Dunelm Group (DNLM) 450.00p +2.27%St. Modwen Properties (SMP) 171.70p +2.08%Grainger (GRI) 106.30p +1.92%Ashmore Group (ASHM) 359.30p +1.90%Gem Diamonds Ltd. (DI) (GEMD) 279.90p +1.60%JD Sports Fashion (JD.) 850.50p +1.55%RPC Group (RPC) 317.00p +1.31%Helical Bar (HLCL) 268.60p +1.28%Anglo Pacific Group (APF) 324.00p +1.25%FTSE 250 - FallersPZ Cussons (PZC) 324.30p -4.98%Henderson Group (HGG) 163.00p -3.32%CSR (CSR) 360.90p -2.75%Fidelity European Values (FEV) 1,223.00p -1.53%Carpetright (CPR) 652.00p -1.51%SIG (SHI) 138.80p -1.21%Cobham (COB) 232.60p -1.19%JPMorgan Indian Inv Trust (JII) 453.70p -1.15%TR Property Inv Trust (TRY) 179.00p -1.10%Domino Printing Sciences (DNO) 604.50p -1.06%