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Derwent London (DLN) set out plans to sell £1bn of offices over the next three years, equivalent to one fifth of its portfolio value, starting with the £110mn disposal of 90 Whitfield Street announced this morning.

Director of investment Richard Dean told Investors’ Chronicle the sales will initially be used to maintain a “strong balance sheetâ€� and fund capital expenditure of £140mn this year. 

Outgoing chief executive Paul Williams also unveiled a suite of medium-term targets alongside the group’s 2025 results, including 25 per cent to 30 per cent adjusted earnings per share growth by 2030 and a 7 per cent to 10 per cent total accounting return target (net asset value per share growth plus dividends). 

Profit before tax jumped 40 per cent to £162mn over the year, largely due to portfolio revaluation gains. Net rental income of £190mn was unchanged. Shares fell 2 per cent in early trading.

Mobico’s (MCG) shares jumped 30 per cent this morning after the National Express owner beat operating profit targets thanks to strong sales in Spain and a tighter rein on costs.

Adjusted operating profit jumped 9 per cent to £198mn, ahead of its own guidance of around £180mn. Alsa, its Spanish division, remains the star performer with double-digit revenue growth, while the UK coach arm continued to struggle with increased competition.

Panmure Liberum said the numbers may have been flattered by one-off UK Bus land and property sales and accounting distortions. On a statutory basis, the group was hit by £181mn in exceptional charges, including provisions related to its WeDriveU transit division and contract issues in Morocco linked to renegotiations and retenders.

For 2026, the group is guiding for an adjusted operating profit of between £195mn and £210mn. The group is also targeting £100mn in annual cost savings by the end of the year.

Despite some progress, the balance sheet is still the biggest red flag. Net debt has fallen to £1.07bn from £1.2bn a year ago, and leverage improved slightly. The company said it has enough liquidity to meet its 2027 and 2028 obligations, with a £600m credit facility still undrawn and £265m in cash on hand.

Man Group (EMG) grew assets under management (AUM) by 35 per cent to a new peak of $228bn (£168bn) last year on record net inflows, but the hedge fund’s pre-tax profit tumbled 31 per cent to $257mn after market conditions damaged its trend-following strategies in the first half.  

For the year to 31 December, net inflows of £28.7bn were driven by Man Group’s long-only strategies as investors took £5.8bn out of its alternative funds. Core performance fees fell 9 per cent to $281mn.

Chief executive Robyn Grew said Man Group had started 2026 with “strong momentum and much improved performance fee optionality�. Its AHL funds are up between 6 and 7 per cent in the year to date.

Shares in Ocado (OCDO) fell 10 per cent this morning after the loss-making group said it would cut jobs to combat rising debt and financing costs.

After net debt rose by £83mn, chief executive Tim Steiner said that Ocado will “simplify� its business model, and confirmed that “a significant number of roles will no longer be required� as a result.

Ocado provides warehouse automation and logistics solutions to grocers and operates a joint retail venture with Marks and Spencer (MKS). It has yet to turn a profit in its 15 years as a listed company, and while its total loss before tax narrowed slightly to £354mn, total cash outflows at the company rose to £213mn from £199mn the year before. 

This was driven by higher financing costs, which rose by £67mn. Ocado refinanced debt worth £400mn over the year.

The news comes after Ocado’s largest partner, US grocer Kroger (US:KR), pulled the plug on three of its eight Ocado-licensed warehouses in November due to underperformance, which dealt Ocado’s tech credibility a major blow. Canadian grocer Sobeys soon followed suit, closing its Calgary distribution centre. 

Although the company expects to receive $250mn in compensation, the closures will hit Ocado’s FY26 fee revenue by $50mn. The company said it now expects revenue of £500mn for its tech business this year, which RBC Capital Markets said was below analysts’ previous expectations of £608mn. 

RBC analyst Manjari Dhar said that there is now “a reduced likelihood of further game-changing grocery deals� for Ocado in the future.

Drax (DRX) has shifted its major focus for its eponymous power plant from a carbon capture-equipped wood-burning asset to a data centre operation, impairing the value of its carbon capture unit for 2025. 

The company is proposing a grid-connected data centre for its Yorkshire site with the option for a larger, “behind the meterâ€� option in the 2030s. Drax has also committed to spending £500mn on battery energy storage systems, a growing market given the forecast for increased use of renewables in the UK grid. 

The company reported an adjusted cash profit of £947mn for 2025, down 11 per cent on last year as sales and earnings dropped slightly across all its business units. The reported figures saw a much greater fall because of impairments of £378mn on the Canadian pellet business and the value of its carbon capture unit, with £337mn coming from the former. 

“Given the current political environment and the lack of development of an appropriate regulatory framework to support the investment required for UK [carbon capture from biomass generation], the group has refocused its investment priorities on nearer-term opportunities with more balanced risk-return profiles and therefore has rationalised its level of investment in carbon capture opportunities,â€� Drax said. 

Its shares have climbed this year after the government agreed to continue subsidising the Drax power plant until 2031, alongside the new data centre plans. The use of renewables funding from the government for the wood-burning plant has long been contingent on carbon capture technology being added to the Drax site in the 2030s. 

The 3 per cent rise on Thursday morning alongside the results took the 12-month rise to 42 per cent, to 913p. 

Shares in Hikma Pharmaceuticals (HIK) fell 17 per cent in morning trading after the generic medicines company cut its outlook for 2026 in the full year results. 

While the results themselves were broadly in-line – core adjusted operating profit was up 3 per cent to $741mn (£553mn) – the cut to 2026 forecasts sent investors scurrying for the exit, with not even a new buyback of $250mn enough to stem the tide. 

According to broker Peel Hunt, the new guidance implies group revenue growth of between 2 and 4 per cent and core operating profit in the range of $720mn-$770mn for 2026. This implies a drop in core operating profits of around 7 per cent.

Significantly, injectables margins are now expected to fall again to between 27 and 28 per cent, down from 31 per cent in 2025 and 35.3 per cent in 2024, reflecting pressure from product mix, lower high-margin contract manufacturing work and increased investment.

Shares in WPP (WPP) fell 8 per cent this morning after the advertising giant reported a sharp drop in profits and new boss Cindy Rose failed to convince investors with a multi-year plan to shore up the business.

Reported operating profit fell 71 per cent to £382mn last year, largely due to a £641mn goodwill impairment, and by 22.6 per cent on a headline basis to £1.3bn. Revenue fell 8.1 per cent to £13.5bn, while revenue less pass-through costs, its preferred metric, fell 5.4 per cent on a like-for-like basis.

A major drag on their results was China, where sales fell more than 14 per cent due to a weak economy and the loss of local client contracts. Management expects sales to fall by mid-to-high single digits in the first half of 2026 and is guiding for headline operating margins of 12 to 13 per cent this year, against consensus of 13 per cent.

In a further blow to shareholders, the full-year dividend was slashed to 15p, down from 39.4p the year before. But Rose didn’t just bring bad news; she also unveiled a major overhaul to save the company called ‘Elevate28’.

The aim is to move away from being a collection of separate agencies and simplify the company into just four core units: WPP Media, WPP Creative, WPP Production and WPP Enterprise Solutions. The group is targeting £500m in annual cost savings by 2028, with much of this likely to come from job cuts and merging back-office functions.

Read our Deep Dive into WPP here

Shares in London Stock Exchange Group (LSEG) rose 5 per cent in early trading after the company announced plans for £3bn of buybacks over the next 12 months, equivalent to 7.5 per cent of its market cap.

Activist investor Elliott Management, which has recently taken a stake in the company, had been advocating for buybacks in the run-up to results.

LSEG also increased its dividend by 15 per cent versus the prior year to 150p.

The data and information services group, whose shares have foundered in recent months on AI fears, reported a profit before tax of £2bn on revenues of £9.3bn, up 57 per cent and 5 per cent respectively versus the prior year. 

The midpoint of LSEG’s guidance for 2026 revenue growth of between 6.5 per cent and 7.5 per cent is fractionally ahead of consensus expectations, with the guiding for mid to high single digit revenue growth thereafter.

“We are positioning ourselves as the partner of choice for licensed, trusted data as the use of AI in decision-making scales – and we are seeing very positive signs of adoption,� said chief executive David Schwimmer.

Jupiter Fund Management (JUP) generated its first year of net inflows since 2017 and grew underlying profits by 42 per cent to £138mn.

The FTSE 250 asset manager celebrated with a special dividend of 5.7p a share and a new share buyback programme of up to £30mn.

Net inflows of £1.3bn in 2025 compared with outflows of £10.3bn the year before, as flows turned positive from the second quarter.

The company’s global equity absolute return fund was once again the standout performer, but three of the group’s seven investment groups reported positive sales. Asset flows were positive in both client channels, institutional and retail and wholesale.

Read the full update here

Despite its remarkable rise in the past five years, Nvidia (US:NVDA) is not particularly highly valued relative to its profits. Its forward PE ratio is 24, which is cheaper than both Home Depot (US:HD) and Walmart (US:WMT). It is also cheaper than all the Magnificent Seven, other than Meta (US:META).

Nvidia’s shares are pricing in a slowdown in AI investment or a significant rival emerging to take market share. In reality, the threat is probably some combination of the two.

However, its recent results showed no indication of a slowdown. In the fourth quarter, its data centre revenue rose 75 per cent year-on-year to $62.3bn (£46bn), ahead of the $60.7bn FactSet analyst consensus forecast.

And this momentum is going to continue. In the first quarter of the fiscal year, management has guided for revenue to be $78bn, which would be up 15 per cent quarter-on-quarter. It is also ahead of the $72.9bn being forecast by analysts.

Read the full update here