Established in 1974
185,800 clients worldwide
Over 15,000 markets

Reckitt Benckiser report due Monday

Reckitt Benckiser will release its second-quarter figures for 2014 on Monday. The consensus is for revenue of £9.7 billion and an operating profit of £2.46 billion.

Finish: Reckitt Benckiser
Source: Bloomberg

Currently trading at £51.27, the shares price is up 4.1% since it announced its first-quarter results in April. The company posted better-than-expected revenue and operating profits of £10.04 billion and £1.96 billion respectively for the first three months of the year, both exceeding estimates.

Reckitt Benckiser’s pharmaceutical division has enjoyed success with its drug Suboxone, a substitute for heroin, but the firm has lost exclusivity to the drug and the generic brands have been on the market for the past year. The company’s pharmaceutical unit is in decline and is considering selling the operation which is worth approximately £1 billion. Reckitt Benckiser is looking to focus on 19 ‘power brands’.

The shares price is receiving support from the 100-day moving average of £49.78. If results are good and the stock takes out the record high of £52.82, it could continue on to £55.

The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG Bank S.A. accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication.