Firms hit by Covid soar on new dividend plans

ShareS in a host of companies laid low by Covid soared as they outlined plans to reinstate dividend payments.

Travel firm On The Beach, Upper Crust owner SSP and office landlord IWG will all resume handouts to shareholders in a major boost for investors.

On the Beach surged 17.9pc, or 21p, to 138.4p after it said it would pay a dividend next year – its first since December 2019 – as business was booming again following several years of disruption.

revenue rose 18.7pc to a record £170.2m in 12 months to the end of the September while profit jumped to £12.9m from £2.2m.

The group enjoyed a strong summer while winter bookings increased by more than a third.

and with next year expected to be even better, On the Beach will start paying out dividends from September 2024.

analysts at Numis, the investment bank, said: ‘Despite cost-ofliving pressures still facing many, consumers continue to regard holidays as sacrosanct.’ SSP gained 6.4pc, or 13.6p, to 226.6p as it cashed in on the return of international travel and commuters working in the office.

Group profits more than tripled to £88m while revenues jumped 38pc to £3bn in the year to September 30. Sales were up by more than a fifth in the first eight weeks of its new financial year.

It plans to pay a final dividend to shareholders in February.

and at its investor event, office landlord IWG outlined its medium-term priorities.

This included resuming dividend payments, which chief executive Mark Dixon said was a ‘signal of how well the business is doing’. Its shares climbed by 2.4pc, or 3.6p, to 153.5p.

Meanwhile, the FTSE 100 fell 0.3pc, or 23.12 points, to 7489.84 while the FTSE 250 was up 0.7pc, or 126.28 points, to 18,487.53.

equipment rental firm Ashtead said second-quarter profits were flat just two weeks after it lowered its annual forecasts. Shares dropped 3.8pc, or 185p, to 4735p.

Downgrades from Barclays sent mining giant Anglo American 3.1pc, or 69.5p, lower to 2155p while Auction Technology, which allows bidders to buy items such as paintings, sofas and antiques through its online marketplaces, dropped 5pc, or 26p, to 495p.

Power firm Drax made gains after it said profits in its pumped storage and hydro business are expected to be way ahead of the £171m it made last year. Shares rose 2.5pc, or 11p, to 454.5p.

a positive first-half performance for Discoverie – up 16.4pc, or 99p, to 703p – saw the electronics components business increase its revenues and profits and resolve supply chain issues. Demand for video and audio cards helped Moonpig sales rise 6.5pc to £152.1m in the six months to October 31 as profit more than doubled to £18.9m. It rose 10.2pc, or 17.9p, to 158.6p.

Ladbrokes owner Entain fell 0.3pc, or 2p, to 794.8p after it reached a £615m agreement to resolve an investigation into potential bribery offences at its former Turkish business.

a high Court judge said that the gambling giant will pay £585m penalty as well as a further £10m to cover the probe and a £20m donation to charity.

Strong Christmas bookings at Marston’s were overshadowed as higher interest rates and lower property values took their toll.

The pub chain swung to a loss of £20.7m for the year to the end of September. Shares fell 3.9pc, or 1.2p, to 29.75p.

engineering group Senior will supply parts for Boeing 787 aeroplanes to Uae company Strata as part of a new seven-year contract worth around £9.5m.

Senior’s shares slid by 0.1pc, or 0.2p, to 163.8p.