The FTSE 100 index remained close to its all-time high on Tuesday, supported by a strong session in Japan and positive trading updates from Persimmon and Whitbread. London's blue-chip index hovered near Monday's record close of 10,140.70, with investors awaiting US inflation data and JPMorgan Chase results later in the day.
Whitbread, the owner of Premier Inn, led the FTSE 100 risers, climbing 5% or 118p to 2702p after reporting “positive momentum” in the third quarter. The company also reduced its estimate for the impact of business rate changes and increased its cost efficiency guidance. Whitbread said its UK division's revenue per available room rose 4% in the six weeks to 8 January. Despite today's rally, the shares remain 6% lower over the past year.
Persimmon shares edged up 4p to 1418.5p after the housebuilder said underlying profits for 2025 would be towards the upper end of City expectations. Total completions rose 12% to 11,905. The company noted that while it does not expect a material improvement in market conditions this year, early indications from its Boxing Day marketing campaign were encouraging. Jefferies reiterated Persimmon as its top pick among UK housebuilders, with a price target of 1815p.
Games Workshop posted a record half-year profit of £140.8 million, up 11%, but shares fell slightly after a strong run that had lifted its market valuation above £6 billion. Chief executive Kevin Rountree said the operational plan was delivered “exceptionally well, pretty much drama free,” though the company faced a £6 million hit from US tariff changes. Peel Hunt raised its price target to 20,000p, citing a strong performance and encouraging hobby health statistics.
Elsewhere, Rentokil Initial fell 7.2p to 466.4p after naming US-based Mike Duffy as its next chief executive, succeeding Andy Ransom. Retailer Shoe Zone saw shares drop 22% after warning that annual profits would fall by about 70% to £1 million, blaming “highly adverse” government policies and weak consumer confidence. The company said pre-tax profits slumped to £3.3 million in the year to September 27, down more than two-thirds.
