Home
Investment
News & Views
Company News
news storage
Tuesday preview: BP and Xstrata
Tue, 22 May, 2012
INVESTMENT NEWS
Company Search
Search QCK.COM
Investment Home
News & Views
Top Stories
Charting
Company Search
Watchlist
Market Reports
Market Buzz
Company News
Economic News
New Issues
Other News
Tuesday preview: BP and Xstrata
Mon, 6 Feb 2012, 17:19:00
With <b>Royal Dutch Shell</b>'s results out of the way, attention turns to its perennial rival, <b>BP</b>, which issues a fourth quarter update on Tuesday. 
 
 Broker Charles Stanley thinks fourth quarter net income will be $4.8bn, down from $5.2bn the year before. The controversial oil leviathan outlined a 10-point plan at the time of its third quarter (Q3) results, and Charles Stanley will be looking for "more transparency and detail on segmental results and more financial details with the Q4 results." 
 
 BP is still toiling in the shadow of the Gulf of Mexico oil well disaster, and recently received a setback in a Louisiana court in its efforts to get Transocean to stump up what BP says is the full share of the oil rig leasing firm's tab for the claims arising from the pollution caused by the explosion of the Deepwater Horizon rig. 
 
 On the positive side, fears that the British company would have to quit the Gulf of Mexico art the behest of the US authorities have proved unfounded. 
 
 "The Gulf of Mexico remains an important asset for BP and although the decline of oil & gas volumes may have stabilised, it may be 2013 before BP returns to historic levels of output in the Gulf. We do not anticipate any change to the quarterly dividend though BP may feel more confident about its financial position after reducing debt and receiving some contributions to the oil spill costs from partners such as Mitsui, Anadarko and Cameron," Charles Stanley analyst Tony Shepard said. 
 
 Anglo-Swiss mining giant <b>Xstrata</b> has been in the spotlight recently after it emerged that it is in talks with its major shareholder, Anglo-Swiss commodities trader <b>Glencore</b>, about a merger of equals. 
 
 The company announces full year results on Tuesday, and Credit Suisse is forecasting earnings before interest, tax, depreciation and amortisation (EBITDA) of $11.3bn and earnings per share (EPS) of $1.87, in line with the market consensus. It does, however, see some upside potential following solid production numbers announced on the last day of January. 
 
 "We expect the market to focus closely on any commentary around capex [capital expenditure] inflation and project approvals. Las Bambas is the major project where capex is under review; however, we do not expect an update until later this year. Any commentary suggesting a more selective to approach to project growth and capex would be well received by the market in our view," Credit Suisse said.
 
 INTERIMS 
 Sabien Technology Group 
 
 INTERIM DIVIDEND PAYMENT DATE 
 Johnson Matthey, Workspace Group 
 
 INTERNATIONAL ECONOMIC ANNOUNCEMENTS 
 Consumer Credit (US) (20:00) 
 Industrial Production (GER) (11:00) 
 
 Q4 
 BP, GlaxoSmithKline, Torchmark Corp., Wolfson Microelectronics 
 
 FINALS 
 Beazley, BP, GlaxoSmithKline, Low & Bonar, St. Modwen Properties, Torchmark Corp., Wolfson Microelectronics, Xstrata 
 
 ANNUAL REPORT 
 Proventec 
 
 IMSS 
 888 Holdings 
 
 AGMS 
 Pressure Technologies, TUI Travel, United Drug, Victrex 
 
 TRADING ANNOUNCEMENTS 
 Bellway 
 
 UK ECONOMIC ANNOUNCEMENTS 
 BRC Sales Monitor (00:01) 
 
 Q1 
 TUI Travel
©2004-2009 QCK.com
