London open: Stocks surge ahead

6th Aug 2009 08:53

London's top stocks charge off the blocks as financials set a fast pace in early deals.Insurer Aviva is the main riser after it cut interim dividend by 31% and announced plans for a partial IPO of its Dutch business. IFRS operating profit fell to £1.05bn for the six months ended 30 June 2009 from £1.2bn in 2008, although profit after tax swung to a £747m profit from an £84m loss a year ago.Banks continue to rise with Royal Bank of Scotland Group, Lloyds Banking Group and Barclays all up.Food and household goods giant Unilever is ahead despite posting a fall in earnings as recession-hit shoppers cut back on branded products. Turnover at the maker of Surf washing powder and Knorr soups in the second quarter of 2009 climbed to €10.46bn from €10.37bn over the same period a year previously but pre-tax profits slipped to €1.20bn from €1.35bn.Fresnillo, the world's largest primary silver producer, said the board has approved the pre-feasibility study for the development of the first stage of Saucito project in Mexico. RSA Insurance is down in early deals. Although net written premiums rose 4% to £3.5bn at non-life insurer RSA, on a constant exchange rate it was down 2%. Operating result was also down 11% to £392m, while pre-tax profit slumped to £301m from £395m before.Broadcaster ITV posted a fall in revenues and continued losses in the six months to June 30 as advertising revenues slumped. Pre-tax profits for the period totalled £105m, compared with £1.53bn over the same period the previous year as revenue slipped to £909m from £1.03bn.Defence firm Cobham saw profits and revenue surge for the half-year thanks to acquisitions made last year and favourable currency rates. The group also announced today that current chief operating officer Andy Stevens will become the new chief executive, succeeding Allan Cook with effect from 1 January, 2010. Profit plunged by 56% during the first half at fund manager Schroders and by 73% after exceptional items due in part to falling performance fees.Satellite communications firm Inmarsat is on target for solid revenue growth this year following a strong half-year performance from the maritime business. Profit before tax for the six months ended 30 June 2009 jumped 10.5% to $97m following a 4.9% increase in revenue to $508.7m and lower operating costs.Bookmaker Ladbrokes has dropped its half-year dividend by 31% following a slip in profits and the "uncertain" outlook. Profit before tax for the six months ended 30 June 2009 fell 3.9% to £131.3m from £136.6m a year ago on group net revenue down 6.6% to £504.4m.Budget airline EasyJet crammed more passengers onto its planes and lifted traffic in July as demand for cheap flights held up in the recession. The group flew 4.66m passengers during the month, compared with 4.47m over the same month the previous yearHotel operator Millennium & Copthorne saw profits fall by nearly half in the second quarter as the global recession hit demand, but said it was beginning to see signs of stability.