DGE, VOD, MKS, EZJ, BT, GRG: 6 UK Earnings Reports We’re Watching Next Week 

Key Points

• Diageo to update on US sales softness and tariff impact

• Vodafone sees trough in German revenue decline?

• BT looking at Openreach line losses

• MKS to lay out cyber attack impact

• Greggs and easyJet due to report

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Diageo - Q3 2025 Trading Update 19 May

The main story for Diageo is the US – how are organic sales in North America? What’s the impact of tariffs? What about a potential sell-out?

Weaker consumer trends in the US underpin bearish sentiment around spirit sales there and investor positioning has turned quite negative lately after it pulled guidance in February on tariff risks. Management used the opportunity to ditch its mid-term outlook for 5-7% organic net sales growth. This was due an update and investors may like to see a reset of expectations. Short interest has increased – could be squeezed on a more positive update due to diminished tariff risk?

It’s also an Irish story. Diageo reported net sales of $10.9bn in the six months to December, which was down by 0.6%, although organic sales returned to growth of 1%. Pre-tax profits fell to $2.8bn from $3.3bn a year earlier. Spirit sales were down 3% but beer revenues grew by 13%, led by Guinness.

But long-term headwinds may strengthen. Terry Smith's Fundsmith Equity sold its stake in Diageo last year, arguing that the sector is in "the early stages of being impacted negatively by weight-loss drugs". 

Vodafone - Q4 2025 Results 20 May

A few things to watch out for. One will be guidance on German service revenue which have been declining but could start to pick up – look for guidance/commentary on this front. Three merger is likely to be initially dilutive to free cash flow due to timing of investment, look for guidance on profits to come in.

Greggs - Q1 2025 Trading Update 20 May

Another one to be impacted by weight loss drugs? Who knows. Like-for-like sales in the first quarter are expected to be at +2% as we see continued slowdown from recent quarters. Last year was +5.5% LFL across the 12 months, after +7.4% in the first 19 weeks of 2024. Look for commentary on consumer trends and the outlook.

Marks & Spencer - FY 2025 Results 21 May

Attention will be on the fallout from the cyber attack and potential for ongoing disruption and negative impact on both sales and brand perception. MKS has declined around 17% since April 21st when news of the attack broke. Marks is said to be preparing a £100mn insurance claim which could net out some of the impact – key will the particulars on teh financial impact as investors have clearly priced in some damage. H2 sales are seen about 4-5% with profit before tax seen at about £430mn.

easyJet - H1 2025 Results 22 May

All eyes on the outlook for the summer season and how much capacity is left. Also guidance on how the holidays business is driving earnings growth.

Its Q1 update was positive with losses halved from a year before, on +7% passenger growth and available seat kilometre, the key capacity metric, +11%. H1 underlying winter losses expected to reduce when adjusted for the timing of Easter and a prior year release of aged balances

Management guided H1 ASK Capacity +12% YoY (Q2 ASKs +14% YoY). It also reported a positive outlook for FY25, consistent with consensus, and on track to achieve medium term target of over £1bn PBT. The company expects FY25 ASK growth of c. 8% YoY, while easyJet holidays expects c.25% customer growth YoY. Look for any update on these figs.

BT Group Q4 2025 Results 22 May

Consumer trends are tough and net adds may be weak – it’s easy to switch and rivals offer faster broadband at cheaper price points...no brainer. Line losses at Openreach likely to pick up as Sky starts migrating to the CityFibre network from the middle of the year. Also watch for slowing UK government spend in B2B and need to up capex on Openreach fibre rollout due to competition which is eating market share.