Europe Earnings: Carpetright, Essar Energy, Peugeot, Telefonica, Vodafone

Nigel Thomas
25 Jun, 2013
New York City

Essar Energy net loss for the year narrowed to $162.8 million. Telefonica agreed to sell its Irish unit to Hutchison for

[R]3:20 PM Frankfurt – Essar Energy net loss for the year narrowed to $162.8 million. Telefonica agreed to sell its Irish unit to Hutchison for €850 million. Vodafone agrees to acquire Kabel worth €7.7 billion.[/R]

In London trading, FTSE 100 index jumped 1.1% or 64.21 to 6,093 and in Frankfurt the DAX index climbed 1.5% or 118.67 to 7,811.

In Paris, CAC 40 index advanced 1.4% or 49.41 to 3,645.

Carpetright Plc climbed 2.4% to 620 pence after the UK based floor covering retailer said group revenue in the year ending on April 27 fell 2.9% to £457.6 million from £471.5 million. Loss before tax for the year swung to £5.1 million pounds compared to profit of £13.5 million and loss per share swung to 9.8 pence from earnings of 16.4 pence a year earlier.

Underlying operating profit for the year surged 42.5% to £11.4 million and comparable revenues rose 2.2%.

Eurasian Natural Resources Corporation Plc rose 1.4% to 216.80 pence after founders of the Eurasian Natural Resources Corporation and Kazakhstan government are preparing a takeover bid for remaining stake in London listed ENRC for £3.04 billion. An independent committee set up by the company said that the proposed offer undervalues the company.

Essar Energy Plc gained 0.4% or 122.50 pence after the energy company reported revenue for the year ending in March climbed 24% to $27.5 billion from $21.9 billion. Loss for the year narrowed to $162.8 million compared to $690.3 million or basic loss of 12.5 cents per share from 53 cents.

The India based oil explorer said pre-tax loss for year ending in March was $163.2 million and underlying net debt held at $6.74 billion. Power revenues soared 26% to $448.6 million.

Peugeot SA climbed 4.3% to €6.07 after the France based automaker reported booked 26,000 orders for 2008 urban crossover model in Europe, after two months of launch.

Rexam Plc declined 5.1% to 441.50 pence after the UK based packaging company expects full year results will be lower than the earlier forecast.

Starbucks Corporation, the coffee house chain agreed to pay corporation tax of £5 million for the first six months of the year and additional £5 million in the second half for the first time since 2008. The Starbucks will pay £10 million in each of the next two years.

Spokeswoman of coffee chain said, “We listened to our customers in December and so decided to forgo certain deductions which would make us liable to pay £10 million in corporation tax this year and a further £10 million in 2014.""

Telefonica SA soared 4.5% to €9.93 after the Spain based communications company agreed to sell its Irish unit to Hutchison Whampoa of Hong Kong for €850 million with €780 million in cash to reduce the debt.

Vodafone Group Plc jumped 2.3% to 179.78 pence after the UK based mobile company agreed to acquire Kabel Deutschland in a transaction, shareholders will receive €87 per share in cash, valuing the company at €7.7 billion or £6.6 billion.