FTSE 100 movers: Ocado slumps on results; Abrdn gains

London’s FTSE 100 was down 0.6% at 7,885.97 in afternoon trade on Tuesday.

Online grocer and technology company Ocado was the worst performer on the index after it posted wider losses as the cost-of-living crisis and return to normal shopping habits after the Covid pandemic hammered its joint venture with Marks & Spencer.

The group posted a pre-tax loss of £501m for the year to 27 November 2022, compared with a loss of £179m a year earlier and worse than analyst forecasts of a £399m loss. Core losses were £74m compared with a profit of £61m a year earlier. Retail losses were £4m, down from a £150m profit in 2021.

Ocado retail revenue declined by 3.8% to £2.2bn in what the firm called a "challenging market" as the benefits of the trend towards online shopping sparked by Covid pandemic lockdowns wound down and customers bought fewer items "exacerbated by the cost-of-living crisis".

Croda also fell as it posted a rise in full-year sales and profit but said 2023 was set to be more weighted to the second half than the prior year.

Russ Mould, investment director at AJ Bell, said: "Investors hate hearing that phrase as it raises the chances of a profit warning if that six-month period doesn’t live up to expectations."

Product testing and certification company Intertek was also in the red after full-year results.

On the upside, asset manager Abrdn gained despite saying it swung to a full-year loss, citing volatile markets and surging investments in what the company called "one of the hardest investing years in living memory".

St James’s Place advanced after well-received results.

FTSE 100 - Risers

Abrdn (ABDN) 222.60p 4.31%
Kingfisher (KGF) 286.40p 3.66%
St James's Place (STJ) 1,274.50p 3.03%
M&G (MNG) 214.10p 2.98%
Associated British Foods (ABF) 2,015.00p 2.05%
NATWEST GROUP (NWG) 294.00p 2.05%
Lloyds Banking Group (LLOY) 52.72p 1.80%
Centrica (CNA) 106.00p 1.63%
CRH (CDI) (CRH) 3,954.50p 1.27%
Standard Chartered (STAN) 797.20p 1.22%

FTSE 100 - Fallers

Ocado Group (OCDO) 571.20p -8.58%
Croda International (CRDA) 6,616.00p -4.50%
Intertek Group (ITRK) 4,202.00p -3.93%
Bunzl (BNZL) 2,980.00p -3.50%
Spirax-Sarco Engineering (SPX) 11,675.00p -2.34%
Smith & Nephew (SN.) 1,176.50p -2.24%
RS Group (RS1) 981.50p -2.14%
Experian (EXPN) 2,796.00p -2.07%
United Utilities Group (UU.) 1,015.00p -1.84%
Rentokil Initial (RTO) 510.00p -1.81%