Beyond the Footsie: Tuesday close
SOME positive corporate news enabled smaller company shares to stay in the black, outperforming the blue-chips. The FTSE SmallCap index collected 0.6 points at 2428 in thin trading.
Northgate Solutions, which supplies IT services to the public sector and personnel markets, took on 4 1/2p at 27 1/2p. The company's profits rose almost fourfold to £8.67m and it unveiled plans to sell its health business to iSoft for £33m in cash.
Babcock International, the support services company, added 14p at 122 1/2p, boosted by stronger-than-expected results and an upbeat statement on prospects. Old Mutual Securities is contemplating raising the stock to 'hold' from 'reduce'.
Carpets firm Victoria added 17 1/2p at 148 1/2p as the market cheered a hike in the dividend, despite a slump in profits and gloomy outlook for the international carpet market.
Fibre optics firm Gooch & Housego rose 11 1/2p to 107 1/2p, taking heart from growth in its orders even though half-year profits and sales plunged.
Broker comment boosted fellow tech minnow Emblaze Systems, with WestLB Panmure upgrading the stock to 'buy' from 'neutral' and hiking its price target to 171p from 130p. It cited the firm's deal to sell TV software to Taiwan's state-owned Chunghwa Telecom. Emblaze gained 15p to 108p.
Directors' share buying lifted telematics firm Trafficmaster, up 6p at 35p, and car alarms firm Toad, ahead 1p at 6 1/2p.
Faupel Trading rose 3 1/4p to 16p, recovering some of the ground lost the previous session after losses ballooned and the textiles firm scrapped its dividend.
Investment group Leggmason's International Utilities fund topping the list of decliners with a 31% drop, down 12 1/2p at 27 1/2p amid worries over the state of the equities market. Telco Energis lost 0.30p at 1.18p on talk that one of three potential bidders has pulled out.
Scoot.com retreated 0.13p at 0.57p and reflective paints firm Reflec lost 0.13p to 1.12p. The firm warned the previous session that it would need further restructuring to reach profitability.
