Business

FTSE 100 lifted by Shell and Rolls-Royce results

  • 30 July 2015
  • From the section Business
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(Close): The London market was boosted by a number of well-received company results, with Shell and Rolls-Royce among the top risers.

On a busy day for corporate updates, the benchmark FTSE 100 index closed 37.87 points higher at 6,668.87.

Royal Dutch Shell rose 4.2% after the oil giant said it had shed 6,500 jobs as part of cost-cutting measures.

Shell also said capital investment this year would be cut to $30bn, down by about 20% from 2014.

Shares in Rolls-Royce rose 2.6%, despite the aerospace firm reporting a 32% drop in underlying half-year profits to £439m.

Rolls has issued three profit warnings in the space of 12 months, but chief executive Warren East said "our second half outlook remains positive".

"The continued growth in our order book demonstrates the long-term demand for our innovative products and services, and underpins my confidence in the fundamental strength of our business."

AstraZeneca shares were 3.1% higher despite the drugs company reporting a 7% drop in second-quarter revenues to $6.3bn.

Shares in Royal Bank of Scotland fell 3.1%, despite a rise in second-quarter profits to £293m.

BAE Systems rose 0.75% after the defence firm said it was on track to see a small rise in profits this year.

The company said it remained "on track to deliver sales growth and continues to expect underlying earnings per share for 2015 to be marginally higher than in 2014".

Among the fallers, Centrica shares fell 3.1% after the British Gas firm reported its half-year figures.

Profits across the Centrica group fell 3% to £1bn, despite a near doubling in profit at British Gas's residential arm.

Centrica announced plans to cut 6,000 jobs, and is scaling back investment in its upstream oil and gas production business.

BT Group was another faller, with its shares down 1.2%. The company reported a 1% rise in core earnings to £1.4bn, in line with analysts' expectations.

On the currency markets, the pound fell 0.07% against the dollar to $1.5594 and was up 0.56% against the euro at €1.4284.