London’s leading stock indices moved higher on Tuesday, with strong corporate earnings from Unilever and GSK helping offset weakness in banking and energy shares.
The FTSE 100 rose 0.9% to 10,878.85, while the FTSE 250 gained 0.5%.
Unilever was among the standout performers, surging nearly 9% after reporting second-quarter turnover of €13.05 billion, ahead of analyst expectations of €13.0 billion. Underlying sales increased 5.8%, and the consumer goods group reiterated its full-year guidance for underlying sales growth of 4% to 6%.
GSK also advanced, climbing 4.2% after reporting second-quarter core earnings per share of 50p, ahead of market forecasts. Revenue rose to £8.41 billion from £7.99 billion a year earlier, while the pharmaceutical giant reaffirmed its full-year guidance. GSK also announced plans to invest £400 million over three years in a new global research and development centre at the Cambridge Biomedical Campus, alongside upgrades to its existing laboratories in Ware.
In contrast, Barclays fell 6% despite reporting stronger-than-expected second-quarter earnings and announcing a £1 billion share buyback programme. The lender posted total income of £8.34 billion, beating analyst forecasts, while earnings per share increased to 16.7p from 11.7p a year earlier. Investors also digested reports that Barclays is increasing the proportion of performance-related pay for senior bankers while reducing fixed salaries.
Elsewhere, HSBC slipped 0.4% following reports that Chief People and Governance Officer Aileen Taylor will relocate from London to Hong Kong later this year as the bank continues to strengthen its presence in its largest market.
Outside London, Stellantis gained 1.5% in Paris after agreeing to sell its entire stake in Free2move’s car-sharing business to Mutares, while BHP remained in focus after wage negotiations with unions representing workers at its Port Hedland iron ore operations ended without agreement. Talks are due to resume next week.
