FTSE 250 movers: Hiscox advances while Asos out of fashion again

(Sharecast News) - FTSE 250 up 0.16% to 18,224.77 at 1510 GMT.

Insurance group Hiscox after reporting that it had performed well in "a complex underwriting environment", with constant currency gross written premiums up almost 10% year-to-date.

Hiscox said group gross premiums written were up 6.3% to $3.68bn, or 9.3% in constant currency, as strong rate momentum continued across all business segments and premium growth remained ahead of claims inflation assumptions.

The London-listed firm said Hiscox Retail gross written premiums were up 6.1% to $1.76bn, while US Digital Partnerships and Direct gross written premiums increased 9.8%.

Hiscox also reported an investment result loss of $293.9m, down from a profit of $62.7m in 2021, or a negative return of 4.2% year-to-date, primarily due to unrealised mark-to-market losses in its bond portfolio.

Chief executive Aki Hussain said: "Our retail business is on track, with platform migration going well and we look forward to an acceleration of growth in 2023.

"The performance of our big-ticket businesses remains robust after the impact of Hurricane Ian, and improving conditions are presenting new opportunities."

Shares in tech venture capital investor Molten Ventures rose as the market welcomed its portfolio revaluation.

The company said its underlying gross portfolio fell 17% in the quarter to September 30 due to tough economic conditions and rising interest rates.

The company, formerly Draper Esprit, on Wednesday said its full-year gross portfolio value was expected to be at least £1.45bn, compared with £1.35bn at the end of September.

Luxury car maker Aston Martin downgraded its delivery expectations for the year on Wednesday as it pointed to further supply chain issues and posted a widening of its losses.

In an update for the nine months to 30 September, the company said it now expects total wholesales to be more in line with current consensus expectations at between 6,200 and 6,600, down from previous guidance of more than 6,600.

The updated outlook reflects the impact of new supply chain and logistical disruption in the second half, which it expects to be short-term "following active management of the relevant issues".

The car maker also said it was incurring incremental costs specifically associated with mitigating these issues, impacting margin expansion.

Executive chairman Lawrence Stroll said: "Over the last two quarters we have encountered specific supply chain challenges that have delayed our ability to meet customer demand. Whilst we moved quickly to resolve the shortages that affected our Q2 performance, our Q3 growth was hindered by new supply chain challenges, impacting more than 400 vehicles that had been planned to be delivered in the quarter.

"Although these headwinds, which are already improving in Q4, have disrupted our near-term financial performance and modestly impacted our full year guidance, the medium and long-term outlook is robust."

In the nine-month period, pre-tax losses grew to £511.3m from £188.6m in the same period a year earlier. Aston pointed to a £245m negative non-cash FX revaluation of US dollar-denominated debt as the pound significantly weakened against the greenback.

Revenue rose 16%, however, to £857.2m, driven mainly by strong pricing and mix dynamics, Aston Martin Valkyrie programme deliveries and foreign exchange tailwinds. Revenues in the third quarter were up 33% on the year to £316m thanks to strong wholesale average selling price growth, and to a lesser extent, to modestly higher wholesale volumes.

At 0938 GMT, the shares were down 14% at 91.04p.

Sophie Lund-Yates, equity analyst at Hargreaves Lansdown, said: "Aston Martin Lagonda will deliver fewer vehicles than expected this year. Supply chain disruption and logistic stalemates mean the group is being forced to downgrade guidance.

"This is not the development the luxury carmaker needed, its valuation has already motored downwards since listing just a short time ago, with genuine questions being raised about the sustainability of the group's long-term growth drivers. Volume downgrades should also come with a dose of healthy scepticism, with it being possible that weaker demand, not just supply issues, could be lurking beneath the surface."

Online fashion retailer ASOS was sharply lower after Liberum downgraded rival Boohoo to 'sell'.

FTSE 250 - Risers

Hiscox Limited (DI) (HSX) 947.80p 5.50% Molten Ventures (GROW) 360.80p 3.98% Lancashire Holdings Limited (LRE) 532.00p 3.70% TBC Bank Group (TBCG) 2,065.00p 3.66% WH Smith (SMWH) 1,247.50p 3.44% 4Imprint Group (FOUR) 3,650.00p 3.40% IntegraFin Holding (IHP) 265.60p 3.35% Bytes Technology Group (BYIT) 383.40p 3.18% Watches of Switzerland Group (WOSG) 839.50p 3.13% IP Group (IPO) 64.70p 3.11%

FTSE 250 - Fallers

Aston Martin Lagonda Global Holdings (AML) 89.08p -15.72% ASOS (ASC) 584.00p -5.35% Pets at Home Group (PETS) 280.40p -4.50% Morgan Sindall Group (MGNS) 1,514.00p -4.06% easyJet (EZJ) 339.70p -4.04% Essentra (ESNT) 213.50p -3.83% TI Fluid Systems (TIFS) 135.00p -3.71% Synthomer (SYNT) 116.60p -3.64% Hochschild Mining (HOC) 53.20p -3.36% Direct Line Insurance Group (DLG) 198.40p -2.79%