Companies reporting next week

HOUSEHOLD products group

Updated versions of existing brands such as Airwick air freshener and Dettol disinfectant have helped progress so far this year, although the bottom-line sales figure will again be hit by negative currency exchange movements.

The Sars outbreak will have affected trading in Asia over the past three months, although Reckitt appears to have benefited from strong sales of Dettol.

First quarter figures from retailer Marks & Spencer will need to be judged carefully on Wednesday as they are up against a strong performance a year earlier when the company's recovery was in full swing.

However, analysts will still be in need of some reassurance as M&S disappointed with its showing for the fourth quarter of last year.

Broker Gerrard expects a strong like-for-like sales performance from the food division, with better weather in June likely to have lifted clothing demand after a difficult May. The figures will be released ahead of the company's annual general meeting later in the day.

Software company Misys provided a comprehensive trading update last month so annual results on Thursday will instead be keenly watched for the outlook statement, with the recent movement of the company's share price suggesting the market is already confident about prospects.

The Misys statement said trading had been in line with guidance set out in January so Gerrard is forecasting pre-tax profits of £117m compared with £94m a year earlier.

Former building society Northern Rock should keep up its recent record of beating the earnings growth enjoyed by rival UK banks when it kicks off the sector's reporting season with interim results on Thursday,

Despite some cracks, the mortgage market is still buoyant and lending so far in 2003 suggests another bumper year for the company. Gerrard is forecasting a 14% improvement in pre-tax profits to £175m.

Set-top box maker Pace Micro Technology will show the impact of a difficult year on Monday as its annual results will bear the brunt of the ITV Digital collapse and the financial turmoil affecting NTL and Telewest.

For the year to May 30, the West Yorkshire-based company is expected to report that turnover has halved to £180m with pre-tax losses of £16m compared with profits of £13.1m last time.

Economists shocked by this week's interest rate reduction will be kept on their toes on Tuesday when inflation figures for June are published.

Fears that inflation may dip below target in the medium-term was cited by the Bank of England as among for reasons for cutting rates, although analysts are not expecting any sharp drop just yet.

The key underlying figure is likely to stay well above the 2.5% target with some experts expecting a slight rise of 0.1% to 3% after last month's surprise decline. Comparisons with a weak performance a year ago will cause the rise.