Upstream Share Discussion Threads

[master rsi] 10/4/2024 23:36

British Bulls has joined the list tonight with a BUY

KEFI 0.575 +0.009
Signal Update
Our system’s recommendation today is to BUY. The BULLISH ONE WHITE SOLDIER pattern finally received a confirmation because the prices crossed above the confirmation level which was at 0.566.

Market Outlook
The bulls have strong evidence on their side and this evidence prompts us to make a bullish bet. Today’s candlestick has a white body and its close is above the confirmation level. The bullish pattern that was previously identified is finally confirmed and a BUY signal is generated. It is probably the right time to be part of this boost and bullish market sentiment. The market is telling you about a new profit. Do not miss this chance.

[master rsi] 10/4/2024 22:03

MARKET REPORT
LONDON MARKET CLOSE: New York stocks tumble as US data dashes cut hope

(Alliance News) - European stocks closed off session highs on Wednesday, while equities in New York struggled, after a robust US inflation reading which potentially pushed the first Federal Reserve rate cut of the cycle further into the future.

The FTSE 100 index ended up 26.42 points, 0.3%, at 7,961.21. It had traded a touch below the 8,000 point mark shortly before the US inflation reading, however.

The FTSE 250 closed up 38.40 points, 0.2%, at 19,801.75, and the AIM All-Share rose 4.21 points, 0.6%, at 755.19.

The Cboe UK 100 ended up 0.4% at 795.63, the Cboe UK 250 ended marginally lower at 17,201.76, and the Cboe Small Companies fell 0.1% to 14,745.87.

In European equities on Wednesday, the CAC 40 in Paris fell 0.1%, while the DAX 40 in Frankfurt edged up 0.1%.

The Dow Jones Industrial Average was 1.2% lower at the time of the European equities close. Both the S&P 500 and Nasdaq Composite slumped 1.1%.

The pound was quoted at USD1.2546 late Wednesday afternoon in London, down sharply from USD1.2672 at the equities close on Tuesday. The euro stood at USD1.0743, slumping from USD1.0856. Against the yen, the dollar was trading at JPY152.88, surging from JPY151.65.

According to the Bureau of Labor Statistics, the year-on-year rate of US consumer price inflation picked up to 3.5% last month, from 3.2% in February, taking it further above the Fed's 2% inflation target.

The rate of consumer price inflation had been expected to pick up to just 3.4%, according to FXStreet cited consensus.

The annual core rate of inflation, so excluding food and energy, was 3.8% in March, where it had stood in February. It had been expected to ease to 3.7%, according to FXStreet.

Kathleen Brooks, research director at XTB said the immediate aftermath of the CPI report "has been a bloodbath."

"The market has once again recalibrated to US rate cut expectations, and the verdict is that that first rate cut may not come until November. The market is now pricing in less than 2 rate cuts from the Fed for this year. What a turn around, only a few months ago the market was expecting 6 cuts."

At 1900 BST on Wednesday, minutes from the Fed's last meeting are released. The US central bank late last month maintained interest rates at between 5.25% and 5.50%.

During that meeting, its summary of economic projections were released. The dot-plot chart still suggested three rate cuts could be in the offing this year.

However, confidence in three rate cuts from the Fed, beginning in June, is being tested.

According to the CME FedWatch Tool, there is a 79% chance the Fed leaves rates unmoved in June. This time last week, there was more than a 60% chance that it would cut at that meeting.

Its next decision is on May 1.

In London, Tesco shares rose 3.3%, ending the best large-cap performer.

The Hertfordshire-based supermarket chain said pretax profit surged to GBP2.29 billion in the financial year ended February 24, from GBP882 million a year prior.

Revenue climbed 4.4% to GBP68.19 billion from GBP65.32 billion.

The company announced a final dividend of 8.25 pence per share, bringing the total to 12.10p, up 11% from 10.90p paid for financial 2023.

On the back of the results, Tesco announced a new GBP1.0 billion share buyback programme to be conducted over the next 12 months, including GBP250 million funded by the special dividend paid to the group by Tesco Bank in August 2023.

Ocado had spent most of the day higher in a positive read across, before sinking as the red-hot US data hurt sentiment. Ocado shares fell 1.9% on Wednesday.

Stocks in the rate sensitive property and housebuilding sectors also fell. Barratt Developments fell 1.2% and Segro gave back 1.4%.

Elsewhere in London, XP Power surged 8.0%. The maker of power control systems maintained its yearly expectations and said it expects trading to improve as demand in its semiconductor equipment unit starts to pick up.

XP Power said revenue in the first-quarter to March 31 fell 17% on-year to GBP64.6 million. It declined 15% at constant currency. Order intake was 29% lower at GBP43.7 million.

The company said on Wednesday: "As expected, revenue in Q2 is likely to be slightly lower than Q1 due to ongoing customer destocking, and we continue to expect trading to improve during 2024 as channel stock levels reach equilibrium and as demand for Semiconductor Manufacturing Equipment begins to increase. Order intake in Q2 will provide greater clarity on the timing and trajectory of this improvement.

"We are confident that our market positions remain strong and that the group is well positioned to prosper as our key markets resume their trajectory of healthy long-term growth."

Chamberlin tumbled 17%, after results in its most recent quarter came in below expectations.

The specialist castings and engineering group based in Walsall, West Midlands issued a trading update on the three-month period ended February 29. The company's financial year runs to May 31.

Underlying demand across Chamberlin during its financial third quarter was below management's expectations.

"Schedules over the period were lower than previously forecast by our customers and were further impacted by delays with the startup of certain new programs," the company said.

It noted that lower sales during the third quarter of financial 2024 have hurt profit and working capital.

Brent oil was quoted at USD89.31 a barrel late in London on Wednesday, down from USD89.82 late Tuesday. Gold was quoted at USD2,334.91 an ounce, down against USD2,347.44.

Thursday's economic calendar has an inflation reading from China overnight, before the Europe Central Bank interest rate decision at 1315 BST.

In the local corporate diary, kitchen and bathroom products seller Norcos releases a trading statement.

[master rsi] 10/4/2024 21:41

Revolution Bars looks to raise funds as reviews future options
(Alliance News) - Revolution Bars Group PLC on Wednesday announced a GBP12.5 million fund raise amid a restructuring plan that could see the business sold.

The Manchester-based bar group, which operates the brands Revolution and Revolucion de Cuba plans to raise GBP10.5 million via a firm placing and subscription at 1 pence per share and GBP2.0 million via a placing & open offer at the same price.

Without the additional funding, and cost savings delivered through a proposed restructuring plan, Revolution Bars said it would face liquidity pressures from the first quarter of 2025 onwards.

In addition, the company said it had launched a formal sale process to see whether a sale of the company would provide a more beneficial outcome for stakeholders than the restructuring.

Revolution Bars said it was also looking at a sale of one or more subsidiaries.

Revolution Bars also announced cornerstone investments of GBP9.5 million: GBP3.0 million from Luke Johnson, GBP3.0 million from Robus and GBP3.5 million from three key existing shareholders.

Proceeds from the fundraising will be used to fund the implementation of the restructuring, which will primarily impact the Revolution branded sites, provide additional working capital and is expected to enable the company to recommence a site refurbishment programme from 2026.

The proposed restructuring is expected to enable significant adjusted earnings before interest, tax, depreciation and amortisation improvement, put at GBP3.8 million in the first year, through site rationalisation, rent reductions and other central cost savings.

In addition to the central cost savings identified, which equate to GBP900,000 in 2025, the company intends to identify up to a further GBP2.0 million of annual cost savings.

Luke Johnson is expected to join the board as a non-executive director with a view to him being proposed to take the role of chair at the company's annual general meeting in 2024.

Further, Revolution Bars said its lender has indicated its willingness to provide around GBP6.9 million of support prior to and as part of the restructuring.

This includes writing off GBP4.0 million of existing debt, deferral of interest payments for 12 months, worth GBP2.2 million, and providing GBP0.7 million of additional working capital.

In addition, Revolution Bars reported results for the 26 weeks to December 30.

The firm reported a pretax profit of GBP3.1 million, swinging from a pretax loss of GBP0.1 million the year prior. Sales climbed to GBP82.3 million from GBP76.0 million.

The profit included a GBP3.9 million exceptional gain on the disposal of a property.

"Despite a strong festive trading period, the macroeconomic trading environment continued to provide a challenging trading environment," Revolution Bars said.

Chief Executive Officer Rob Pitcher said: "The first half of FY24 has seen continued challenges with the cost-of-living crisis disproportionately impacting particularly the discretionary expenditure of our young Revolution brand guests. Revolucion de Cuba and Peach have been less impacted as the guest profile is more affluent, and both brands enjoyed very strong festive trading, and Revolución de Cuba, in particular, has shown excellent trading when compared against the wider Bars market."

Shares in Revolution Bars are suspended at 1.15p each in London.

[master rsi] 10/4/2024 21:24

DOW

Finishing 422 points down

[master rsi] 10/4/2024 17:10

By BEVIS YEO - STOCKHEAD - 8:14AM APRIL 10, 2024

Helium is a famously scarce yet highly valued commodity that is irreplaceable for many high tech applications.

It is used in semiconductor manufacturing, nuclear energy production, solar panels, optic fibre and the cooling of superconducting magnets in MRI scanning machines.

Demand is also growing with the market expected to grow from an estimated $US5 billion in 2023 to more than $US8 billion in 2030.

Speaking to Stockhead, Noble Helium (ASX:NHE) managing director Shuan Scott said the helium market was dynamic at the moment, with important structural changes under way.

[master rsi] 10/4/2024 16:57

HOUSE builders have been on the way down lately but for the last couple of days are falling faster as their support has been broken

Barrat Dev. - BDEV

Taylor Wimpey -TW.

[master rsi] 10/4/2024 16:47

CAU 51.50p (11.50 / 28.75%%) - Centaur Media soars on takeover approach from Dutch PE firm

(Sharecast News) - Shares in Centaur Media soared on Wednesday afternoon after the publishing, events and marketing company confirmed speculation about a takeover approach from a Dutch private equity firm.

Centaur, which runs B2B print magazines such as Marketing Week and digital platforms like Econsultancy, announced in a regulatory filing that it had received a "highly preliminary expression of interest" from Waterland Private Equity Investments for the entire issued share capital of the company.

No financial details were disclosed in the statement.

"Shareholders are advised that there can be no certainty that any offer will be made, nor as to the terms of any offer," Centaur said.

"The board remains confident in the company's growth strategy and its ability to maintain a competitive edge within the markets it operates."

Waterland, which is based in Bussum, North Holland, now has until the end of play on 8 May to give a firm intention to make an offer, under UK takeover rules.

[master rsi] 10/4/2024 16:35

How the UPS are performing during last month

[master rsi] 10/4/2024 16:16

How the UPS are performing today

[master rsi] 10/4/2024 15:27

Sector movers: Miners hit by U.S. dollar strength after 'hot' CPI
(Sharecast News) - A stronger-than-expected reading on the U.S. Consumer Price Index for March propelled the Greenback higher, as traders priced out the possibility of an interest rate cut at the Federal Reserve's June policy meeting.

According to the U.S. Department of Labor, headline and core consumer prices in the States both rose by 0.4% month-on-month in March.

Economists had penciled-in increases of 0.3% for both measures.

Dollar strength hit metals' prices, in turn taking miners' shares down with them.

As of 1457 BST, the U.S. dollar index was up by 0.85% to 105.04 and at its session highs.

In parallel, the yield on the policy-sensitive two-year U.S. Treasury note had leapt 21 basis points higher to 4.962%.

Gold futures on COMEX headed in the opposite direction, erasing 0.61% to $2,348.0/oz., while copper was down by 0.63% to $4.2585/ib..

Interest rate sensitive REITS were also unloved.

Aerospace and Defence names were again seen profit-taking.

Shares of HSBC on the other hand appeared to be taking the prospect of higher rates in the States in their stride, as they were so often wont to do.

That was keeping the sector gauge in the black.

Boosting the lender's shares too, analysts at Citi had reiterated their 'buy' recommendation and 810p target price.

Top performing sectors so far today

Medical Equipment and Services 11,167.32 +1.51%

Leisure Goods 25,031.84 +1.11%

Personal Care, Drug and Grocery Stores 3,783.19 +1.05%

Banks 3,963.34 +0.92%

Automobiles & Parts 1,252.73 +0.83%

Bottom performing sectors so far today

Precious Metals and Mining 10,297.37 -2.22%

Industrial Metals & Mining 6,602.27 -2.10%

Real Estate Investment Trusts 2,222.44 -1.55%

Aerospace and Defence 10,404.10 -1.23%

Life Insurance 5,879.04 -1.11%

[master rsi] 10/4/2024 14:54

Biggest North Sea oil find in decades to be drilled for first time - The Telegraph 10 Apr '24
AUK energy company is to start drilling at the biggest oil field discovered in the North Sea in at least 20 years in spite of a net zero crackdown on the industry.

EnQuest plans to bring two fields onstream which have the potential to produce 500 million barrels of crude oil over coming decades.

The sites, which neighbour Kraken oil and gas field, 80 miles east of Shetland, will reignite the political battle over the North Sea’s future in which Labour has threatened to block new production citing environmental concerns.

Their planned intervention has prompted warnings from energy companies that the UK risks cutting off its own energy supplies before it has a replacement.

The resulting “Kraken cluster” will have combined reserves larger than either Rosebank or Cambo, the controversial fields west of Shetland which attracted a backlash from environmental campaigners. Cambo was discovered in 2002 with discovery drilling at Rosebank taking place two years after.

Rosebank, which is predicted to yield 350 million barrels of oil, won a production licence last September after months of political wrangling. Cambo, with 170 million barrels of oil, has been in limbo since 2021 when energy giant Shell pulled out of the project because of the green backlash.
Related video: Oil Market Is In An Escalatory Risk Environment (Bloomberg)
Contextualize this for me. We don't know how the proxies

It comes as Labour plots a £11bn raid on the UK’s oil and gas industry as part of proposals to increase and extend the windfall tax, with the funds invested in “clean power to cut bills for families”.

The party has also proposed to ban new oil and gas drilling licences.

Energy companies are under intense pressure to cut back on oil and gas production and boost investment in renewables as governments race to meet net zero targets.

Wael Sawan, the chief executive of Shell, warned last month that the world is at risk of energy shortages unless more money is invested in drilling for oil and gas.

EnQuest’s two new sites, Bressay and Bentley, are so close to Kraken that they can all be connected to the same production system, based around the giant ship already serving as a floating oil platform for the Kraken field.

EnQuest said Bressay was “one of the largest undeveloped oil fields in the UK continental shelf” with so-called oil-in-place estimated to be between 600 million and one billion barrels.

Oil-in-place measures the total oil in a reservoir but the amount extracted from Bressay is likely to be around 200-300 million barrels.

Bentley, the second nearby field, is thought to be even larger, capable of producing more than 300 million barrels, putting it on a par with Rosebank.

Those amounts are in addition to the 137 million barrels already being extracted from the original Kraken field. It means the cluster could produce more than 700 million barrels of oil.

A spokesman for Offshore Energies UK, the industry trade body, said: “Continued investment in UK energy opportunities, including oil projects, is necessary to ensure UK security of energy supply, support hundreds of thousands of jobs and contribute to the UK economy.”

However, it is thought that almost all that oil is likely to be exported, partly because the Kraken field is not linked to a pipeline meaning its oil is likely to be collected by ship and taken to whichever refineries buy it.

It means the main benefit for the UK will come from any taxes paid by EnQuest. The windfall taxes imposed by Jeremy Hunt, the Chancellor, currently stand at 75pc of profits.

Craig Baxter, of EnQuest, said: “EnQuest continues to explore ways to progress the respective development of the Bressay and Bentley fields.

“EnQuest is committed to supporting the energy transition in the UK and any future field development will be conducted in line with EnQuest’s commitment to reaching net zero scope 1 and 2 emissions by 2040.”

Mr Baxter added that the gas initially extracted from the Bressay field would be used to power the Kraken operations, replacing the diesel fuels currently used and so cutting emissions.

He said: “This would significantly reduce Kraken’s emissions, by displacing diesel that is currently being used to power field operations.”

A Department for Energy Security and Net Zero spokesman said: “As data from the independent Climate Change Committee shows, we’ll still need oil and gas for decades to come, even when we reach net zero in 2050.

“That’s why we’re backing the UK’s oil and gas industry with annual licensing rounds, supporting around 200,000 jobs, generating billions in tax revenues to fund public services and support with the cost of living and retaining the skills and expertise needed for the green transition.

“Even with new oil and gas licences, we have been clear there will be a managed decline in UK production, projected at 7pc per year, and they will not make us a net exporter or increase carbon emissions above our legally binding carbon budgets.”

[master rsi] 10/4/2024 14:34

DOW

Opening lower to 437 points in the red. after higher inflation

[master rsi] 10/4/2024 14:02

Predator Oil loss widens amid increase in activity in Morocco

(Alliance News) - Predator Oil & Gas Holdings PLC on Wednesday said that its loss widened in 2023, as a result of an increase in drilling activity in Morocco.

In 2023, Predator Oil's operating loss widened to GBP4.8 million from GBP2.5 million a year earlier. The increase in operating loss is primarily due to increased drilling activity in Morocco, the company explained.

Its pretax loss widened to GBP4.8 million from GBP2.6 million.

"We are pleased to have completed successfully and within budget a transformational 3-well drilling programme in Morocco," said Chair Paul Griffiths.

"We have identified a significant potential gas structure linking the MOU-1 and MOU-3 wells that will be evaluated by a rigless testing programme using Sandjet perforating technology to reach beyond potential formation damage.

"We have also encountered shallow higher pressure gas that was better protected from formation damage whilst drilling by the setting of a shallow casing string. This can also be perforated and tested now using Sandjet, even though it sits behind two casing strings."

Predator Oil shares fell 1.0% to 10.40 pence each on Wednesday afternoon in London.

[master rsi] 10/4/2024 13:15

MARKET REPORT
LONDON MARKET MIDDAY: European stocks get boost ahead of US inflation

(Alliance News) - Stock prices in London were higher at midday on Wednesday, despite some nerves centred around the latest US inflation rate reading, out this afternoon.

Amongst individual stocks, Tesco led the charge, after unveiling a GBP1 billion share buyback programme. Other retailers also got a boost on the back of the results.

The FTSE 100 index was up 47.65 points, 0.6%, at 7,982.44. The FTSE 250 was up 171.65 points, 0.9%, at 19,935.00, and the AIM All-Share was up 4.39 points, 0.6%, at 755.37.

The Cboe UK 100 was up 0.6% at 797.79, the Cboe UK 250 was up 0.9% at 17,358.36, and the Cboe Small Companies was down 0.2% at 14,725.27.

In European equities on Wednesday, the CAC 40 in Paris was up 0.5%, while the DAX 40 in Frankfurt was up 0.7%.

All eyes are on a key US inflation reading, which is out at 1330 BST.

Stocks in New York were called to open mixed, with investors mostly shaking off nerves ahead of the inflation reading. The Dow Jones Industrial Average was called up 0.1% and the S&P 500 index up slightly, whilst the Nasdaq Composite was called down marginally.

Wednesday's US inflation data is expected to show the rate of year-on-year consumer price growth picked up to 3.4% last month, from 3.2% in February, according to FXStreet cited consensus.

If the rate of consumer price inflation picks up by more than expected, it could mean the Federal Reserve will re-think its interest rate outlook. In its last set of economic projections, the dot-plot showed three rate cuts were still the best bet for 2023.

"The inflation figures could still knock markets off course, particularly if they come in higher than expected. Market forecasts already predict further gains in the annual rate of inflation, although the core inflation figure which excludes food and energy prices is expected to slip back slightly," said AJ Bell's Russ Mould.

The pound was quoted at USD1.2701 at midday on Wednesday in London, up compared to USD1.2672 at the equities close on Tuesday. The euro stood at USD1.0864, higher against USD1.0856. Against the yen, the dollar was trading at JPY151.82, higher compared to JPY151.65.

In the FTSE 100 index, Tesco was the top performer, rising 3.5%.

The Hertfordshire-based supermarket chain said pretax profit surged to GBP2.29 billion in the financial year ended February 24, from GBP882 million a year prior. Revenue climbed 4.4% to GBP68.19 billion from GBP65.32 billion.

The company announced a final dividend of 8.25 pence per share, bringing the total to 12.10p, up 11% from 10.90p paid for financial 2023.

On the back of the results, Tesco announced a new GBP1.0 billion share buyback programme to be conducted over the next 12 months, including GBP250 million funded by the special dividend paid to the group by Tesco Bank in August 2023.

Other retailers got a boost on Wednesday. Ocado, Sainsbury, and B&M were up 1.6%, 1.5% and 1.3%, respectively.

WPP jumped 2.5%, after it announced a partnership deal with Alphabet.

WPP, the London-based advertising firm, called the partnership "groundbreaking," explaining the pact will combine Google's expertise in data analytics, generative AI technology and cyber security with WPP's end-to-end marketing capabilities.

WPP Chief Technology Officer Stephan Pretorius said the deal "marks a pivotal moment in marketing innovation."

In the FTSE 250, AO World rose 3.2%. Shore Capital Markets lifted AO World's rating to 'buy'.

Rathsbones jumped 3.0%, after Numis raised its broker rating to 'add'.

On London's AIM, Harvest Minerals shares more than doubled.

The South America-focused fertiliser producer said it has identified potential for rare earth elements at its wholly owned Arapua fertiliser project in Brazil.

Chair Brian McMaster said: "It is encouraging to observe the presence of critical rare earth elements at the Arapua project. We acknowledge the significance of the total rare earth oxides grades observed in the rock samples in our database, particularly depending on whether the mineralization is associated with ionic clays, which we are currently investigating. We have initiated a work programme specifically focused on REE to validate both existing and historical data, and we will report the results in due course".

On the other hand, Chamberlin shares fell 21%.

The specialist castings and engineering group based in Walsall, West Midlands issued a trading update on the three month period ended February 29. The company's financial year runs to May 31.

Underlying demand across Chamberlin during its financial third quarter was below management's expectations, hurting profitability.

"Schedules over the period were lower than previously forecast by our customers and were further impacted by delays with the startup of certain new programs," the company said.

Oil prices tempered slightly on Tuesday, amid diplomacy efforts in the Middle East, with eyes on ceasefire negotiations. Brent oil was quoted at USD89.61 a barrel at midday in London on Wednesday, down from USD89.82 late Tuesday.

"We witnessed talk of progress in the ceasefire negotiations with increasing pressure from the international community, led by the United States, which is currently witnessing the electoral season, after a series of bloody events last week that fueled fears about the conflict being completely out of control," said Samer Hasn at XS.com.

Gold was quoted at USD2,348.80 an ounce, up against USD2,347.44.

[master rsi] 10/4/2024 12:37

How the UPS are performing during last month

[master rsi] 10/4/2024 12:13

How the UPS are performing today

[master rsi] 10/4/2024 11:58

Malvern International increases revenue across all divisions in 2023
(Alliance News) - Shares in Malvern International PLC rose on Wednesday, as the company said it had achieved significant revenue growth and a narrowed loss in 2023.

Malvern International is a London-based learning and skills development company, which provides university pathway programmes, English language training, and teaching courses.

Shares in the company were up 9.5% at 23.00 pence each in London on Wednesday.

In 2023, the company posted a pretax loss of GBP144,782, narrowed from a loss of GBP1.1 million in 2022.

Revenue rose 88% to GBP12.3 million from GBP6.5 million, thanks to growth across all business divisions, and particularly strong performances from Higher Education and Juniors, Malvern said.

Basic losses per share were 0.59 pence in the year, narrowed from 4.95p in 2022.

Chief Executive Officer Richard Mace said: "Malvern's performance in 2023 surpassed the wider market, which continues to recover toward 2019 levels. We achieved year-on-year revenue growth across all three divisions, with exceptional performances from university pathways and strong growth in Juniors. These results have enabled us to make strategic investments in our people and systems, which are crucial as we prepare for the next stage of development."

Looking ahead, Malvern said it is "closely monitoring" immigration policies in the UK, which have a significant impact on its operations.

With this in mind, the company is aiming to enhance its "business mix" by diversifying its offerings to include new academic programmes for Juniors, and expanding its entry-level and higher education course offerings.

Malvern said it is confident in achieving further growth in revenue and underlying profit in 2024.

[master rsi] 10/4/2024 11:35

SALT 72.50p +2.50p

Has been moving higher for the last few days

[master rsi] 10/4/2024 11:03

BOOM 310p +10p

HA BROKEN THE 310P OFFER

[master rsi] 10/4/2024 10:27

KEFI 0.57 v 0.58p

Slowly but surely, it is moving higher on both sides
I do not show on the Intraday as being an order book stock

note : Kefi is an order book stock and always shows the last UT

[master rsi] 10/4/2024 10:02

XP Power Q1 revenues slide, remains 'confident' of market position

(Sharecast News) - Power control components manufacturer XP Power said on Wednesday that both order intake and revenue declined in the first quarter but said it remains confident of its market position.

XP Power said first-quarter order intake was down 29% at £43.7m, while revenues fell 17% to £64.6m and the group's book-to-bill ratio contracted to 0.68x from 0.79x at the same time a year earlier. XP's order book at the end of Q1 was approximately £171.0m.

The London-listed group said sales and order intake in the semiconductor manufacturing equipment sector were at a similar run-rate to that achieved in the second half of 2023, while sales and order intake in its healthcare and industrial technology sectors slowed as customers continued to destock.

Net debt at 31 March was £103.4m, £9.3m lower than at the end of FY23, with the company generating "strong cash flow" from ongoing inventory reduction and cash preservation measures. XP expects net debt to peak around the mid-year point, with its previously announced actions to reduce costs and borrowings said to be "on track" and "delivering the benefits expected".

Looking forward, XP said its full-year expectations were unchanged, with Q2 revenue likely to be "slightly lower than Q1" due to ongoing customer destocking, and trading expected to improve during 2024 as channel stock levels reach equilibrium and as demand for semiconductor manufacturing equipment begins to increase.

"Order intake in Q2 will provide greater clarity on the timing and trajectory of this improvement," said XP Power. "We are confident that our market positions remain strong and that the group is well positioned to prosper as our key markets resume their trajectory of healthy long-term growth."

As of 0940 BST, XP Power shares were up 7.77% at 1,068.0p.