Monday 31 August
– Zoom Video Communications Q2 results
Zoom has been one of the biggest winners to come out of the Covid crisis with the online communications provider’s share price more than tripling over the past year, from $90 to $295 a pop.
The spike in users over the first quarter has been “phenomenal,” said AJ Bell investment director Russ Mould, with the number of customers with over 10 employees up 345% from 81,900 to 265,400.
Mould noted that following a bumper Q1, CEO and founder Eric Yuan is targeting 1.5x higher revenues in Q2 of $495–$500m compared with $328m in Q1 and expects turnover for the year to be three times higher at $1.8bn versus $632m in 2019. Guidance for non-GAAP earnings per share has also been revised up to $0.45 for Q2 against $0.21 in Q1.
– Chinese manufacturing and non-manufacturing PMIs
Tuesday 1 September
– The Job Retention Scheme cost sharing model moves to the government covering 70% of wages up to a cap of £2,190, and employers covering 10% of wages up to the cap and their NI contributions and 3% auto-enrolment minimum contributions
Analysts have warned that if Britain’s 9.6 million furloughed workers find themselves unemployed when the scheme comes to an end on 31 October it could trigger a second shock to the British economy.
The furlough scheme, which 1.2 million employers have taken advantage of since March, has already cost the government £34.7bn as of August and the total bill is expected to be £80bn.
– Interim results from media group STV
– Manufacturing PMIs from Asia, Europe, UK and US
– Reserve Bank of Australia interest rate decision
– ESMA consultation on cloud outsourcing guidelines closes
– UK monthly mortgage applications and net lending data
– US monthly car sales data
Wednesday 2 September
– The Pensions Regulator’s Defined Benefit Funding Code of Practice consultation closes
– H1 results from Johnon Service, Gym Group and Eddie Stobart Logistics
– Mattioli Woods final results
– Barratt Developments full-year results
The FTSE 100 firm revealed all its building sites were fully operational again in a July trading update and boasted a forward order book of £3.3bn that was not far off analyst expectations, but Mould noted completions for the year are expected to be 12,600, the lowest figure since 2011.
For the full year, analysts are expecting profits to plunge by 40% but to rebound by 8-10% for the financial year that has just begun.
Mould said: “That juicy forward sales book gives some visibility on future trading, although the issue of Help to Buy’s narrowed scope from April 2021 when it will be for first-time buyers only, with regional price caps and then its planned expiry in 2023 continues to loom.
“Bellway has already noted that 57% of its sales in the full year to June 2020 had been made with help from the scheme, up from 35% the year before, so watch out for the trend here at Barratt.”
– UK construction PMIs
– US oil inventory data
– Publication of the latest Federal Reserve ‘Beige Book’
– Quarterly results from French spirits firm Pernod Ricard
– American department store Macy’s reports Q2 earnings
Thursday 3 September
– GMs for Lindsell Train Investment Trust, Ninety One and Invesco Asia Trust
– First-half results from Wagamama-owner Restaurant Group and NCC
– Melrose Industries H1 report
The Share Centre noted Melrose’s share price has been one of the most volatile in the FTSE 100 since the coronavirus crisis hit, reflecting the problems of being over-exposed to the automotive and aerospace industries. Due to falling revenues the firm has had to lower its profit guidance for the year, meaning it would just about break-even, and introduce a swathe of cost cuts.
– Asia, Europe, UK and US services industries’ PMIs
– US weekly unemployment claims data
– Quarterly results from US corporates Broadcom, Ciena and Cooper Tire
Friday 4 September
– US non-farm payrolls data
The US unemployment rate fell to 10.2% in July after another 1.8 million jobs were created, the third straight gain.
“In mid-August, the weekly jobless insurance claims number dipped below one million for the first time since the pandemic hit home in the spring, so economists will be looking for further improvement in the US jobs market – albeit from a frighteningly low base after the initial shock caused by April’s 20.5 million job losses, according to the Bureau for Labor Statistics data,” Mould said.
– FCA consultation on its guidance (GC 20/1): Advising on pension transfers closes
– Berkeley AGM and trading update
It’s been a mixed-bag so far for Berkeley, The Share Centre said, with the FTSE 100 property developer reporting better than expected full-year results but half of its normal sales for April and May.
“It has recently confirmed an interim dividend in September and the return of a further £140m to shareholders by March next year,” said The Share Centre. “Sadly, the company has also recently seen the passing of its founder and chairman Tony Pidgley.”
– Full-year results from Genus
– German factory orders data
