FTSE 100 movers: Rentokil surges on update; Mondi slumps

London’s FTSE 100 was up 0.6% at 8,381.38 in afternoon trade on Thursday.

Pest control services group Rentokil Initial surged to the top of the index as it held on to full-year guidance following a profit warning last month, reporting a steady third quarter with revenues unchanged year-on-year at £1.38bn.

Russ Mould, investment director at AJ Bell, said: "While today’s material bounce in the share price for pest control firm Rentokil will be sweet relief for shareholders who have endured a tough period, the move is worth putting in context.

"The shares had been weak heading into the third-quarter update so they are now only modestly higher over the course of the last week and are still down more than 20% since September’s profit warning.

"Investors will have been reassured by the fact full-year targets remain unchanged and by the action taken to boost organic growth in North America and bring costs back under control. The company has also revamped its senior leadership team across the Atlantic.

"These are baby steps in the right direction but, with a representative from Nelson Peltz’s Trian vehicle on the board, after the activist snapped up a stake in the company, pressure on its management is likely to remain acute. Chief executive Andy Ransom needs to deliver after more than a decade in situ."

Gambling and gaming group Entain rallied as it boosted its full-year outlook after third-quarter numbers came in ahead of expectations.

On the downside, Mondi slumped as the paper and packaging group said that underlying core profit fell in the third quarter in "muted" trade, mainly due to more planned maintenance shuts.

Peer DS Smith was also in the red.

FTSE 100 - Risers

Rentokil Initial (RTO) 371.60p 8.94%
Entain (ENT) 747.40p 4.97%
Melrose Industries (MRO) 446.90p 3.57%
Anglo American (AAL) 2,338.50p 3.45%
Informa (INF) 835.00p 3.19%
JD Sports Fashion (JD.) 140.15p 2.79%
Intermediate Capital Group (ICG) 2,166.00p 2.75%
Barclays (BARC) 243.35p 2.66%
Diageo (DGE) 2,642.50p 2.54%
Flutter Entertainment (DI) (FLTR) 17,830.00p 2.29%

FTSE 100 - Fallers

Mondi (MNDI) 1,310.00p -5.76%
Smurfit Westrock (DI) (SWR) 3,348.00p -1.90%
Rio Tinto (RIO) 4,947.50p -1.82%
Vodafone Group (VOD) 74.72p -1.81%
Antofagasta (ANTO) 1,787.50p -1.76%
United Utilities Group (UU.) 1,087.00p -1.72%
Smith (DS) (SMDS) 461.40p -1.49%
Smiths Group (SMIN) 1,633.00p -1.33%
Severn Trent (SVT) 2,711.00p -1.06%
Persimmon (PSN) 1,702.50p -1.02%