Abbeycrest (LON:ACR) (ACR, 6.0p, £4.41m), Interims to 31 August 2010 report a 5% uplift in revenues to £18.8m (H109: £17.9m) predominantly due to the rise in gold prices, but adjusted pre-tax losses widened to £0.5m (H109: £0.2m). Net debt fell to £7.0m (H109: £8.1m). The FY outcome is dependent on the key Christmas period. As household finances continue to suffer a backdrop of squeezed disposable income, high inflation, high gold prices and ongoing public sector spend cuts; weak consumer confidence may have an adverse impact over Christmas. There are no forecasts in the market. The group has sufficient headroom following the extension of its banking covenants, which encourages us to reiterate our HOLD.

Driver (DRV, 18.5p, £4.88m) Trading statement for the second half and year to September confirms a modest loss in H2 and net debt of £0.5m (up from £0.16m at the end of H1 but less than market expectations).  The group’s strategy is one of overseas expansion in Africa and modest growth in Qatar while still winning business in the UK. The group is beginning to look better value (we turned sellers in June at 35.5p) and on a price to sales ratio could offer some upside. We move to a HOLD for the time being ahead of the results in January 2011.

Endace (LON:EDA) (EDA, 245p, £36.71m) Its EP Core100 high speed data capture and analysis system has been confirmed as “one of the few” systems capable of capturing every data packet at the 10GBit transmission speed.  The shares have run after a very middling trading update ahead of the November 2 interim results. The company suggested it was still confident of meeting the expectations for $1.7m profit for the year – in effect a $3m turnaround in H2 despite increased sales and marketing costs. If that is true then the shares could offer upside should the momentum be carried through to next year, however we remain to be convinced so maintain a HOLD recommendation.  

Fiberweb Plc (LON:FWEB) (FWEB, 77.25p, £94.75m) Trading since the end of the first half to June has been strong with good progress towards its medium term margin targets. Improved margins and volumes up 5% (year to year). Industrial is showing the largest increase, despite continued weakness…

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