FTSE 100 movers: Diageo gains on results, AstraZeneca hit by failed drug trial

London's FTSE 100 index was down 0.1% to 7,442.10 in afternoon trade as earnings reports came in thick and fast.

Smirnoff and Johnnie Walker maker Diageo racked up impressive gains as it announced a £1.5bn share buyback and posted an increase in full-year profits and sales.

Pest control group Rentokil was on the front foot as it said the weaker pound helped it to report a 637% increase in first-half pre-tax profits to £592.9m. The figure includes a net profit on disposals of £462.5m. Adjusted profit before tax excluding the divestments at actual exchange rates was £126.3m.

Anglo American advanced after saying it was resuming its dividend payments early after it managed to take its debt well below its year-end target, as it reported a 68% jump in earnings. In the six months to the end of June, the company was able to reduce its debt by 27% to $6.2Bn, which is well ahead of its year-end target of $7bn, driven by $2.7bn free cash flow.

Randgold Resources rose after chief executive Mark Bristow said late on Wednesday that the company is hopeful it will be able to resolve a tax dispute with Mali's government as he said operations in the country are continuing to deliver a robust performance.

Smith & Nephew made gains after the medical equipment maker said first half operating profit increased to $414m from $357m assisted by growth in emerging markets as it issued unchanged guidance for the full year.

Going the other way, AstraZeneca tumbled after one of its key lung cancer studies failed to meet its primary endpoint. The pharmaceutical giant also released its first-half results on Thursday.

SSE was weaker as its stock went ex-dividend, while Lloyds Banking Group retreated after its first-half results. The bank reported underlying first-half profits ahead of forecasts, hiked the dividend and upped its net interest margin guidance for the full year. However, the shares were hit by the fact that another £1bn of conduct charges were set aside, mostly relating to PPI.

Market Movers

FTSE 100 (UKX) 7,435.97 -0.22%
FTSE 250 (MCX) 19,874.15 0.56%
techMARK (TASX) 3,465.19 -1.05%

Risers

Diageo (DGE) 2,433.00p 7.06%
Rentokil Initial (RTO) 286.10p 4.11%
Next (NXT) 3,929.00p 3.94%
Anglo American (AAL) 1,238.50p 3.64%
Land Securities Group (LAND) 1,027.00p 2.60%
Convatec Group (CTEC) 313.40p 2.15%
Randgold Resources Ltd. (RRS) 7,060.00p 2.10%
Smith & Nephew (SN.) 1,326.00p 1.92%
Pearson (PSON) 655.00p 1.87%
Paddy Power Betfair (PPB) 7,545.00p 1.82%

Fallers

AstraZeneca (AZN) 4,296.00p -15.98%
SSE (SSE) 1,386.00p -5.07%
Lloyds Banking Group (LLOY) 67.25p -2.65%
Provident Financial (PFG) 2,093.00p -2.33%
GKN (GKN) 323.50p -1.97%
ITV (ITV) 177.50p -1.50%
Barclays (BARC) 208.45p -1.30%
Sage Group (SGE) 683.00p -1.30%
GlaxoSmithKline (GSK) 1,527.50p -1.16%
Reckitt Benckiser Group (RB.) 7,482.00p -0.82%