The FTSE 100 appeared to deflect the impact of AstraZeneca’s dramatic fall and held steady following a drop in early morning trading.
The pharmaceutical giant saw its shares fall 16% after its half year results for 2017 revealed a disappointing trial for a new lung cancer treatment and an 11% fall in global sales in the first six months of the year.
Despite chief executive Pascal Soriot’s claim the results were “in line with expectations”, profits of just $958m (£729m) and the loss of exclusive sale rights over two drugs shook investor confidence in the firm.
Royal Dutch Shell managed to keep its head above water in the first half of the year, according to its latest results, with net income at $5.08bn – 206% higher than the same period in 2016.
Shell’s CEO Ben van Beurden said cash generation had been resilient over the past four quarters and earnings had meant the firm could reduce gearing to 25%.
“The external price environment and energy sector developments mean we will remain very disciplined, with an absolute focus on the four levers within our control, namely capital efficiency, costs, new project delivery, and divestments,” he added.
Elsewhere, the weak pound helped bolster the position of British American Tobacco, with revenue up 15.7% compared to the first six months of 2016 despite a 5.6% drop in the volume of cigarettes sold to 314 billion.
Anglo American was back in the black after previously posting a profit loss in the first half of 2016.
Its interim results revealed a profit of $1.4bn and a 27% reduction in its level of debt.
Broadcaster Sky also posted positive results with a 10% increase in revenue up to £12.9bn in its total annual results up to 30 June this year.
