While UK dividends hit record £19.7bn in first quarter, some FTSE 100 companies could be headed for cuts
Basic measures like dividend cover suggest a number of blue chips might be struggling to maintain their payouts at current levels
Company
BT Group PLC
LON:BT.A
Operating in over 170 countries, BT is one of the world’s leading providers of communications solutions and services.
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Berenberg thinks new BT boss may cut telecoms giant’s dividend
Berenberg analysts have argued that BT doesn’t have enough cash to fund both its dividend and the much-needed reinvestment
BT gets hefty upgrade from US broker as Openreach headwinds ease
The new 340p target is 28% above Jefferies' previous forecast
BT dividend hike seen as unlikely by analysts as telecoms firm tackles costs, pensions and debt
“With the combined pension and net debt position a rather daunting £16.1bn, it’s hard to see the new CEO raising the dividend in May’s full years,” said George Salmon, equity analyst at Hargreaves Lansdown
BT reports better-than-expected third quarter earnings but warns of challenges ahead
Outgoing chief executive, Gavin Patterson, said he believes he is handing over the business to new boss Phil Jansen with “good momentum behind its ongoing transformation programme”
Investments and investor services
FTSE 100 closes higher, bolstered by resource stocks
The premier index of leading shares added around 27 points to finish at 6,968
BT investors fret over what German rival Deutsche Telekom might do with its big stake in the UK group
The lock-up on Deutsche Telekom’s 12% holding in BT — a legacy of the £12.5bn sale of mobile phones business EE to the FTSE 100-listed firm in 2015 — ended on January 29
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First big wave of corporate results to hit on Thursday: BT, Unilever, Shell, Diageo to stand out
Aside from the tide of blue-chip results, some big second line news will also flow on Thursday from the likes of Britvic, Dairy Crest, Premier Oil, Rank Group, and Renishaw
BT's Openreach to recruit another 3,000 apprentice engineers for ultra-fast fibre-to-the-home broadband roll-out
The jobs — about 1,600 of which will be new roles — are an extension of the company’s largest-ever recruitment drive to hire 6,500 apprentice engineers this year and next
Investments and investor services
FTSE 100 closes lower as trade worries dent global equities; Ocado top Footsie gainer
A deceptively dull start by the Footsie gradually turned into something a bit more dramatic
Archive
Quality and quantity on the company news front, but Brexit vote, Fed rates, US jobs to be key
The cream of the corporate updates will likely come from blue-chips BT Group, Royal Mail, Royal Dutch Shell, Unilever and Diageo
BT to post weaker third quarter earnings as investors wait to hear from new boss
Berenberg sees BT's full-year results in May as an opportunity for new boss Phil Jansen to lay out his plan for the business
Vodafone and O2 extend their network sharing deal to cover 5G, stepping up the battle with BT
Nick Jeffery, Vodafone UK’s chief executive said: “We believe that these plans will generate significant benefits for our business and our customers as we move into the digital era of connected devices, appliances and systems on a mass scal
BT's fibre broadband roll-out plan is Deutsche Bank's 'biggest concern'
“On one hand dividends and pension constrain investment budgets, on the other, competitors are starting to receive funds for ambitious new builds and are mobilising to avail of duct and pole access regulation,” Deutsche Bank said
BT's enterprise arm facing top-line pressures but cost cuts offer support, says Barclays
Barclays expects BT’s revenues to fall 1.5% and earnings to drop 5.6% in the third quarter
How RBS’s management team can achieve a FTSE 100 first in 2019
Never in the FTSE 100's 34-year history has a blue-chip company had women filling the top two executive roles
FTSE 100 registers triple-digit fall as US stock markets slide again
"This year’s Boxing Day bonanza could be no more than a wicked bear trap set to lure investors into more trouble.”
Archive
High street updates, US jobs, UK PMIs to provide focus after New Year holidays
There will be some key data from the US and UK at the start of the new year, and Christmas retail trading news will be a dominant focus notably from Next PLC
BT Group says vote against 2018 remuneration report centred on level of annual bonus paid to Gavin Patterson
Following the vote, its Remuneration Committee Chairman invited a broad selection of shareholders and proxy advisory bodies to meet with him to understand their views on executive pay at BT
UBS thinks CAB’s ‘super-complaint’ could dent BT Group's earnings by £500mln
The Citizens Advice Bureau recently filed a ‘super-complaint’ in which it criticised companies from various industries for taking advantage of loyal customers
Huawei agrees to meet UK security demands for 5G after CFO arrest
BT has said it would not use Huawei's equipment for the core of its 5G service when it is rolled out in the UK amid security concerns
O2 apologises after mobile phone data network crashes
O2 said calls were still working but data connections were broken
BT Group tops FTSE 100 gainers as Goldman Sachs ups rating to ‘buy’ from ‘neutral’
The US investment bank also hiked its price target for BT by a third to 320p, implying around 25% upside to its current share price of 261.85p, which was up 2% on Monday’s close
TalkTalk to move headquarters and take on BT's Openreach with new fibre company
TalkTalk will accelerate its fibre broadband roll-out by setting up a new company called FibreNation
BT's EE and Virgin Media fined £13.3mln for overcharging customers with early exit fees
Ofcom said EE and Virgin Media have agreed to change their terms and reduce exit charges
Archive
The conglomerate discount: Why Smiths is spinning off its medical division
The value of a conglomerate is almost always less than the combined value of its subsidiaries, which is why firms such as Smiths and Whitbread are spinning off some of their assets
BT Group faces number of headwinds, says Barclays
“BT’s recent share price outperformance reflects a solid 2Q result, with EBITDA well ahead of expectations on solid cost execution,” said Barclays
ITV takeover offer “wouldn’t be surprising” at current valuation, says analyst
The broadcaster's content library means it has a bundle of assets that could place it in high demand as competition drives consolidation in the media and telecoms markets
BT share price spike short-lived after media report suggests Deutsche Telekom looking at takeover bid
The Financial Times website’s Alphaville column said there had been conjecture from multiple sources that Deutsche Telekom "has recently been working with advisors" on a full takeover of its UK rival
BT shares surge despite dividend cut as it expects earnings to hit top end of guidance
Regulated price reductions in the Openreach network and a poor performance in its enterprise businesses dragged revenue lower in the first half
FTSE 100 closes lower as sterling gains on BoE rate comments
The bank suggested there could be a faster pace of hikes if the UK gets a smooth Brexit deal
Archive
No change expected from Bank of England on 'Super Thursday' despite Budget optimism
Aside from the BoE interest rate decision, the Day Ahead will also bring updates from the likes of BT Group, Royal Dutch Shell, Smith & Nephew, Shire, Just Eat, and Indivior
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UK Budget, BoE, US jobs data to sandwich flood of corporate updates from likes of BP and Shell
Aside from the oil majors, the slew of blue-chip updates due in the coming week will include global banks HSBC and Standard Chartered, and drugs firms GlaxoSmithKlne and Shire
Hardware & electrical equipment
BT's interims unlikely to provide much of a swan song for Gavin Patterson
If last year's schedule is any guide, BT's third quarter results will be released pretty much on the day the new boss, Philip Jansen takes over, so next Thursday's half-year results will be the last post for the outgoing boss, Gavin Patters
BT Group appoints Worldpay boss Philip Jansen as new CEO
Jansen, who is taking over from Gavin Patterson, will earn £1.1mln a year plus an annual bonus of up to £2.64mln
FTSE 100 closes at session peak after strong rebound in tandem with US stocks
At the close, the UK blue chip index was 41.12 points higher at 7,004.10, the session peak, and well above the early low of 6,995.99
BT tops FTSE 100 in week of global market turmoil amid break-up speculation
AJ Bell's Russ Mould thinks a break-up of BT is unlikely but expects to see a new strategy for the business from the next chief executive who replaces Gavin Patterson
Ofcom opens probe into BT Group and Vodafone UK mobile coverage errors
Ofcom said it had found errors in the coverage data provided by Vodafone and EE relating to 4G and 3G mobile coverage
BT Group reportedly in advanced talks to appoint outgoing Worldpay boss to replace Gavin Patterson
Sky News reported that Philip Jansen is believed to be the preferred candidate to replace Patterson, who revealed in June he would stepping-down towards the end of this year
Berenberg lifts BT Group target price to 270p from 260p, repeats ‘buy’ rating citing ‘semi-soft’ Brexit deal hopes
The German bank's analysts concluded: “If our base case of a semi-soft Brexit is achieved, this removal of ‘fat tail’ risks should be a positive”
FTSE 100 closes higher as traders come back to equities
It was around that level most of the day and closed at 7,304 - that's up around 0.37% on the week
BT reportedly considering former O2 boss as candidate for chief executive
Robert Dunne, the head of Verizon's mobile arm in the US, is understood to have met with BT in Britain in recent days
BT broadband customers suffer biggest out-of-contract price hikes, Uswitch reveals
UK price comparison website Uswitch said many telecoms firms raise prices substantially after contracts expire
Lloyds Banking and BT Group among the big names on the Investment Association's naughty step
For FTSE 100 companies, there was an increase in shareholder rebellions against directors' pay. For FTSE 250, the beef was more to do with directors that many shareholders did not want being re-elected
Hardware & electrical equipment
BT broadband upgrade leads to contract win for Toople
Topple has signed a new contract with an unnamed reseller based in South East England
BT reportedly approaches former Ofcom boss to take the helm
Lord Carter has been sounded out as a possible replacement for Gavin Patterson when he leaves later this year, according to Sky News
BT stands to gain as Virgin Media curtails network expansion, says Numis
Numis maintained its 'buy' rating and target price of 325p per share on BT
BT Sports loses more broadcast rights after withdrawing from negotiations to show NBA basketball and UFC fights
The news follows BT Sport's failure to secure the rights to broadcast Italian Serie A football matches after BT lost a bidding war to Eleven Sports earlier this month
BT's quarterly revenues fall but earnings rise after slashing costs
BT's earnings grew in the first quarter as the group cut costs as part of an overhaul of the business
FTSE 100 closes higher, boosted by earnings and weaker pound
In London, FTSE 100 added over 38 points to finish at 7,701 - that was up on the week too, marginally - by 0.29%.
Archive
BT investors 'flying blind' as it reports first quarter results without net adds
Jefferies reckons the key focus for BT's quarterly results will be on the business and public sector division following a poor performance last year
BT has 7% dividend yield but lack of catalysts lead to RBC downgrade
RBC cut its rating on BT to ‘sector perform’ from ‘outperform’ and lowered its target price to 275p from 385p
BT expects hit to Openreach earnings as it offers discounts for faster broadband
BT said telecoms firms that use the Openreach network will receive discounts on fibre broadband that “go beyond” pricing controls set by regulator Ofcom
Archive
FTSE 100 starts week by ending lower as geopolitical woes hit sentiment...again
In London, FTSE 100 shed 23 points to 7,655, while FTSE 250 shed over 155 points at 20,770
Archive
Apres moi le deluge: Flood of blue chip results to dominate in coming week, including BT Group
Over the five sessions in the Week Ahead, around 20% of the FTSE 100 index will report results or issue a trading update, with about half that number due on Thursday alone
TalkTalk and BT top the table of most complained about broadband providers
In its latest quarterly league table on complaints, communications regulator Ofcom said TalkTalk had received 29 complaints per 100,000 customers while BT received 23
BT loses rights to broadcast Italy’s Serie A football in wake of Ronaldo’s move to Juventus
Global sports broadcaster entrant Eleven Sports has dealt a blow to BT and Sky by securing the rights to Serie A and La Liga
BT Group sees over third of shareholders vote against its remuneration report at Wednesday’s AGM
In a statement, the FTSE 100-listed telecoms giant said 34.2% - or 2.29bn - of the valid votes cast at the AGM were against the approval of its remuneration report
FTSE 100 tumbles 1.3% lower as trade worries grip markets
The UK blue chip index dropped 100 points after the US said it was ready to impose tariffs on an extra US$200bn worth of Chinese goods
Deutsche Bank expects BT Group’s first-quarter update to be “uneventful”, with consumer KPIs no longer a focus
The German bank’s analysts noted that the combination of a change in business unit reporting, IFRS15 accounting, and a less prescriptive consensus gathering process, means a wider spread than normal in expectations for BT’s first quarter 20
Archive
Wetherspoons eyed for CO2 shortage impact as week reaches mid-point
The pub chain will be hoping to mitigate any potential drink shortages as the warm weather and England's World Cup performance drive up customer numbers
Archive
High street vs online: Updates from retailers Mark & Spencer and ASOS will provide fuel
Aside from M&S and ASOS, the week ahead will also bring trading updates from the likes of Ocado, Burberry, Barratt Development, Experian, and JD Wetherspoon
Numis upgrades TalkTalk but the City broker really isn’t a fan
Because shares have fallen over the past few weeks, Numis reckons the stock is now just a ‘reduce’, but it has a lot of issues with TalkTalk: namely the collapse of the B2B unit sale and rivals starting to compete better on price
FTSE 100 closes higher as traders cheer up a bit
The UK blue-chip benchmark closed up over 45 points higher at 7,593, while FTSE 250 added over 59 points at 20,665.
BT expects “adverse impact” from adoption of new accounting standards
The IFRS 15 standard was brought in earlier this year so it was closer to FASB’s accounting guidance
BT Group brings in bankers as it looks to sell off troubled Italian business
According to the Telegraph, BT wants to sell off the division as part of its plan to simplify and modernise its business
BT fined by regulator for sending 5mln nuisance emails
The 4.9mln emails were sent between December 2015 and November 2016 promoting three charities: the BT ‘My Donate’ platform, Giving Tuesday and Stand up to Cancer
BT rallies as Jefferies upgrades stock to 'buy', citing positives of CEO departure
“Ruling out a dividend cut would be unwise,” Jefferies said in a bullish note on BT
Investments and investor services
FTSE 100 finishes higher; Ocado top riser as analysts highlight the potential
FTSE 100 closed up around 23 points at 7,627, while FTSE 250 added over 90 points at 20,926..
BT Group easier as Deutsche Bank trims target price, says firm stuck between “a pension rock and a fibre hard place”
Deutsche Bank’s analysts said: “We were a bit early to u/g to Hold after a 30 month Sell but despite the lower share price since, we restrain ourselves from an unsubstantiated positive view"
Gavin Patterson pays the price for BT’s costly sports and mobile ventures
The move into sports broadcasting and the mobile market were significant developments, but neither has quite panned out how Patterson would have hoped
BT boss Gavin Patterson to step down later this year
Announcing the departure, chairman Jan du Plessis, who had only recently come out in support of Patterson, said they both now realised a change of leadership was necessary
FTSE 100 closes lower on day and week after lacklustre trading; miners weigh
Footsie closed out down around 23 points at 7,681 and was also down on the week as a whole, off around 0.26%
BT phone box turned into world’s smallest nightclub
The classic red phone box in Kingsbridge, Devon was redundant, but the local council has ‘adopted’ it and turned it into what is believed to be the smallest nightclub in the world
Investments and investor services
BT Group: Putsch talk boosts share price
Institutions are far from enamoured by the recent performance of boss Gavin Patterson
BT Group up on reports of informal interest from infrastructure funds about taking stake in Openreach
BT owns the UK's national telecom and broadband network through Openreach, a legally separate division that is used by the firm and its rivals to provide services to consumers
Archive
FTSE 100 closes higher but gives up gains; sterling hit on Brexit worries
Both the US and UK are heading towards a three-day weekend and, to be honest, it kind of feels like the break has already begun...
BT rivals TalkTalk and Vodafone threaten Openreach broadband dominance
Openreach plans to replace the UK’s ageing copper lines with fibre optic cables to bring faster broadband to three million premises by 2020
BT to raise base salary for chief executive for first time since Italy accounting scandal
BT's boss said fiscal 2018 was a "challenging year" but the company delivered on its strategy
BT investors 'need to be patient', says Berenberg as it keeps 'buy' rating but cuts target price
Berenberg has asked why BT decided to keep its dividend at 15.4p for the next two years, given that net debt will now increase by £3bn over this period
Hardware & electrical equipment
BT downgraded by UBS as pension and capex commitments bite
BT has outlined £1bn of cumulative regulatory effects over the next three years but UBS believes the bulk of this is known and factored into consensus
BT unveils new strategy to revive customer service reputation
BT will offer customers faster internet speeds, more TV content and bring its call centres back to Britain and Ireland by 2020
BT will have 'inadequate dividend cash cover', Bernstein predicts, as it downgrades the stock
“Valuations are cheap but with no catalysts, flat free cash flow and no dividend growth, BT’s stock price is likely to stay at these low levels for a while,” Bernstein said
BT Group is not the only blue-chip with a debt mountain and pension problems
There's an argument to be made that BT would have been better off tapping the market three years ago when its shares were twice as high as they are now, rather than braving it out. John Harrington looks at the FTSE 350 to see whether there
Are Vodafone and BT bosses up to the challenge?, analysts question
Some investors have asked whether BT's chief executive can survive as he tackles such challenges as regulation, pensions and tough competition
Forget the recent falls, BT Group is a ‘buy’, says Numis analyst
John Karidis is one of the few BT bulls in the Square Mile, and he reckons the telecom giant’s share are worth 325p
Hardware & electrical equipment
BT Group dives again; how much worse could it be were it to cut the divi?
If BT's handsome divi is supporting the BT share price, how come it has lost more than a third of its value since Gavin Patterson took over in 2013?
Investments and investor services
FTSE 100 closes higher, given a leg-up by weaker pound
The blue-chip index closed around 38 points higher at 7,700
Investments and investor services
Will BT Group be able to avoid cutting its dividend?
Thursday is set to be a busy one for corporate results with the likes of BT Group, Barratt Developments, Next and Supergroup among the day's highlights.
Archive
Rate hike unlikely from May Bank of England policy meeting after recent dull UK data
Aside from the latest Bank of England interest rate decision, the week ahead includes updates from Wm Morrison Supermarkets, Next, BT Group, ITV, and William Hill ...
BT dividend cut cannot be ruled out, says Morgan Stanley ahead of earnings
BT's new chairman Jan Du Plessis is expected to focus on repairing relations with Ofcom as part of the company's strategy
BT downgraded as BarCap wonders whether "wholesale only" competitors could emerge
Wholesale-only competition undermines longer-term returns from BT’s Openreach division but it also risks lowering retail pricing
Hardware & electrical equipment
CityFibre agrees £538mln takeover by consortium to support fibre broadband roll-out
The offer for CityFibre represents a 93% premium to its closing share price on Monday
UBS cuts target prices for BT and Vodafone but remains bullish
Concerns about BT's high-cost base and regulatory headwinds have weighed on the shares while Vodafone is facing uncertainty over talks to buy some of Liberty Global's European assets
BT receives most complaints for mobile and pay-TV services, Ofcom data reveals
Sky had the lowest proportion of complaints for its broadband, landline and pay-TV services
BT merges UK enterprise businesses to simplify operations
"Having brought together our consumer and EE businesses, this is the next step in the simplification of BT's operating model,” said BT’s chief executive, Gavin Patterson
RBC downgrades TalkTalk amid fears BT and Vodafone could undercut mobile and broadband offerings
In a note to clients, analysts at the Canadian bank cited a BT convergence focus as the key risk to TalkTalk's market share
Shire shares lifted by Japanese takeover talk
A look at some of the biggest risers and fallers in London on Thursday.
FTSE 100 closes firmly higher despite disappointing service sector stats
The UK bluechip-benchmark closed over 165 points higher at 7,199, while the FTSE 250 added over 311 points at 19,576
FTSE 100 consolidates gains to close higher but miners weigh
The UK blue-chip index finished over 44 points higher at 7,044, but big miners tempered gains