Latest Updates Of Three Stocks: ITV, GlaxoSmithKline, Antofagasta

ITV (ITV)Â

Background

ITV PLC (ITV) is a United Kingdom-based integrated producer broadcaster (IPB) company. It has a presence in numerous platforms for which it prepares content and distributes worldwide. The company conducts its businesses through two businesses. They are – ''Broadcast & Online" and ''ITV Studios". The Broadcast & Online business operates commercial channels in the United Kingdom and delivers content through linear television broadcasting and across multiple platforms. The ITV Studios business oversees the international content business, which creates and produces content globally.

Recent Developments

Financial Highlights (H1 FY 2019, £m) – July 24, 2019

(Source: Press Release, Company Website)

The company posted total revenue during H1 FY 2019 to the tune of £ 1,749 million, a downside of five per cent year over year when compared to total revenue of £ 1,848 million during H1 FY 2018. Of this, total advertising revenue in H1 FY 2019 (49 per cent of revenue pie) came in at £ 849 million (down five per cent year over year) versus £ 890 million in the year-ago period. In H1 FY 2019, total non-advertising revenue (51 per cent of revenue pie) fell six per cent year over year to £ 900 million versus £ 958 million. After adjusting for internal supplies, H1 FY 2019 Group external revenue fell seven per cent year over year to £ 1,476 million versus £ 1,593 million in H1 FY 2018. Group Adjusted EBITDA decreased 13 per cent year over year to £ 327 million in H1 FY 2019 versus £ 375 million in the year-ago period. In H1 FY 2019, the company’s adjusted earnings per share came in at 6.2 pence versus adjusted earnings per share of 7.1 pence in H1 FY 2018. In H1 FY 2019, the company’s statutory Earnings per share stood at 4.8 pence versus Earnings per share of 5.3 pence in H1 FY 2018.

ITV PLC Share Price Performance

Daily Price Chart (as on July 24, 2019), before the market close. (Source: Thomson Reuters)

On July 24, 2019, at the time of writing (before the market close, GMT 12:30 PM), ITV PLC shares were trading at GBX 114.35, up by 7.62 per cent against the previous day closing price. Stock's 52 weeks High and Low is GBX 174.75/GBX 102.65. The outstanding market capitalisation was around GBP 4.29 billion.

GlaxoSmithKline (GSK)

Background

GlaxoSmithKline Plc (LON:GSK) is a Brentford, United Kingdom-based global healthcare company. It focuses on the development, manufacture and commercialisation of pharmaceuticals, vaccines and consumer healthcare products. The company's operations are differentiated in three operating segments: Pharmaceuticals, Vaccines and Consumer Healthcare products, with Pharmaceuticals being the largest segment. It also separates its activities into three geographical areas. They are the United States, Europe and Rest of World. Of this, the United States is the largest single commercial market, representing 39% of revenue.

Recent Developments

Key Financial Highlights (Q2 FY 2019, in £m) – July 24, 2019

(Source: Press Release, Company Website)

GlaxoSmithKline’s revenue for Q2 FY 2019 stood at £7,809 million, an upside of seven per cent versus revenue of £7,310 million in Q2 FY 2018. Revenue, driven by constant currency basis (CER), grew by five per cent year over year. Gross profit for Q2 FY 2019 improved three per cent year over year to £5,172 million compared with £5,000 million in Q2 FY 2018. Total operating profit was £1,484 million in Q2 FY 2019 compared with £779 million in Q2 FY 2018. Driven by strong sales growth and phasing of Research & Development expenditure, adjusted operating profit grew three per cent year over year to £2,171 million. Overall Profit after Tax came in at £1,050 million in Q2 FY 2019 versus £475 million in Q2 FY 2018. Q2 FY 2019 Earnings per share of the company came in at 19.5 pence versus 9.0 pence in the year-ago period. In the reported quarter, adjusted earnings per share was 30.5 pence, up by 9% on AER basis and up by 4% on a CER basis.

GlaxoSmithKline Plc Share Price Performance

Daily Price Chart (as on July 24, 2019), before the market close. (Source: Thomson Reuters)

On July 24, 2019, at the time of writing (before the market close, GMT 12:30 PM), GlaxoSmithKline Plc shares were trading at GBX 1669.4, up by 0.53 per cent against the previous day closing price. Stock's 52 weeks High and Low is GBX 1,701.60/GBX 1,408.80. The outstanding market capitalisation was around GBP 82.53 billion.

Antofagasta plc (ANTO)

Background

Antofagasta Plc (ANTO) is primarily engaged in activities related to exploration, evaluation and mining of copper in Chile. The company was incorporated in the year 1888 and is headquartered in London, the United Kingdom. The company's business is divided into two divisions, mining and transportation. The mining segment further divided into different sections based on the exploration activities and mines of the company. The company is a part of the FTSE 100 Index.

Recent Developments

Q2 and H1 FY 2019 Production Update - July 24, 2019

During Q2 FY 2019, the company’s copper production was at 198,600 tonnes an improvement of 5.3 per cent versus Q1 FY 2019 production data. Production increased mainly because of high throughput and the expected higher grades, primarily at Centinela Concentrates. During H1 FY 2019, the company’s copper production came in at 387,300 tonnes, 22.2 per cent higher than H1 FY 2018. The upside came from higher throughput and grades at most of the operations.

During Q2 FY 2019, the company’s gold production came in at 86,900 ounces, an upside of 39.7 per cent over Q1 FY 2019 data. During H1 FY 2019, the company’s gold production came in at 149,100 tonnes, 107.1 per cent higher than H1 FY 2018.

The production of Molybdenum for the Q2 FY 2019 decreased by 14.3 per cent to 3,000 tonnes versus the Q1 FY 2019 data, reflecting lower throughput. During H1 FY 2019, the company’s Molybdenum production came in at 6,400 tonnes, 8.5 per cent higher than H1 FY 2018.

The company’s cash costs (before by-product credits) in the Q2 FY 2019 was at USD 1.62/lb versus USD 1.70/lb in the Q1 FY 2019. In the reported period, the decline in 'cash costs' resulted from higher production and weaker Chilean Peso. During H1 FY 2019, cash costs, declined 13.5 per cent year over year to USD 1.66/lb. The net cost, for the Q2 FY 2019 was at USD 1.14/lb versus USD 1.24/lb in Q1 FY 2019. The net cost, for H1 FY 2019, was at USD 1.19/lb versus USD 1.52/lb in H1 FY 2018.

The company reaffirmed its copper FY 2019 production guidance range to be between 750,000 tonnes - 790,000 tonnes. However, the company revised its cost guidance for FY 2019 after recording strong cost performance in H1 FY 2019. The revised cost guidance for FY 2019 now stands at USD 1.25/lb versus earlier guidance of USD 1.30/lb.

Financial Highlights – Financial Year 2018 (USD, million)

(Source: Annual Report, Company Website)

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Antofagasta Plc’s total revenue from FY 2018 came in at USD 4,733.1 million as against USD 4,749.4 million in FY 2017. There was a marginal decrease of 0.3 per cent in revenue due to a decline of 6.3 per cent of the copper price. It was, however, partially offset by higher copper sales volume & higher molybdenum revenue. EBITDA for FY 2018 was at USD 2,228.3 million and declined by 13.9 per cent against USD 2,586.6 million in FY 2017, due to grade decline and higher input costs. The company’s Operating profit from subsidiaries stood at USD 1,345 million in FY 2018 versus USD 1,841.1 million in FY 2017. The company’s total profit from operations, associates and joint ventures stood at USD 1,367.2 million in FY 2018 versus USD 1,900.8 million in FY 2017. Profit before tax was reported at USD 1,252.7 million in FY 2018 as against USD 1,830.8 million in the FY 2017. Net Profits for the period stood at USD 880.3 million in the FY 2018 versus USD 1,197.7 million in FY 2017. For FY 2018, Earnings per share (continued and discontinued operations) stood at 55.1 cents as compared with 76.2 cents in the previous financial year and declined by 27.7 per cent, due to lower EBITDA.

Share Price Performance

Daily Price Chart (as on July 24, 2019), before the market close. (Source: Thomson Reuters)

On July 24, 2019, at the time of writing (before the market close, GMT 12:30 PM), Antofagasta Plc shares were trading at GBX 937.40, down by 0.91 per cent against the previous day closing price. Stock's 52 weeks High and Low is GBX 1,026.00/GBX 713.20. The outstanding market capitalisation was around GBP 9.34 billion.