Europe Earnings: Domestic & General, E.ON, EnQuest, GAM, Resolution

Nigel Thomas
13 Aug, 2013
New York City

Domestic & General agreed to be acquired by CVC Capital in

[R]4:00 PM Frankfurt – Domestic & General agreed to be acquired by CVC Capital in £750 million. E.ON net jumped 8% to $3.36 billion. EnQuest first-half net declined 25%. GAM Holding profit tripled to 119 million francs on 27% increase in revenues. Resolution net swung to a profit of £61 million.[/R]

In London trading, FTSE 100 index gained 0.5% or 30.06 to 6,604 and in Frankfurt the DAX index increased 0.7% or 57.34 to 8,417.

In Paris, CAC 40 index rose 0.4% or 15.20 to 4,087.

Domestic & General Group Ltd., the UK based a private home-appliance warranty provider purchased by UK based private-equity firm CVC Capital Partners Limited from Advent International Corporation. CVC will pay £750 million. Advent International paid £524 million in 2007 for the company.

Deutsche Wohnen AG jumped €16.99 after the Germany based residential property developer lifted its earnings outlook for the year.

E.ON SE climbed 2.2% to €12.50 after the Germany based energy provider reported sales in the first-half ending in June slid 1% to €64.64 billion from €65.40 billion a year ago period. Net income in the period jumped 8% to $3.36 billion compared to $3.12 billion and diluted earnings per share climbed 6% to €1.61 from €1.52 a year ago earlier.

For the first-half, EBITDA declined 15% to €5.7 billion and underlying net income plunged 42% to €1.9 billion.

E.ON reaffirms EBITDA for the year to be between €9.2 billion and €9.8 billion and underlying net income in the range of €2.2 billion to €2.6 billion.

EnQuest Plc slumped 2.1% to 124 pence after the UK based oil and gas explorer said revenue in the first-half ending in June grew 3.6% to $455.9 million from $440.1 million a year earlier. Net income for the period declined 25.2% to $95.7 million compared to $127.9 million and diluted earnings per share slipped 11.9 cents from 15.9 cents a year ago.

Gross profit for the period dropped 14.3% to $175 million.

GAM Holding AG surged 10.1% to 16.95 francs after the Switzerland based asset manager stated net revenue in the first-half ending in June jumped 27% to 349.8 million francs from 274.4 million francs a year ago period. Net profit for the period tripled to 119 million francs compared to 36.6 million francs and diluted earnings per share soared 233% 70 francs from 21 francs a year ago.

Underlying net profit for the period climbed 58% to 111.7 million francs.

Resolution Limited rose 0.3% to 324.70 pence after the Guernsey based insurance company reported total revenue in the first-half ending in June surged 136% to £8.41 billion from £3.56 billion a year ago earlier. Net for the period swung to a profit £61 million compared to net loss of £58 million and diluted earnings per share swung to a 1.54 pence from loss of 5.37 pence a year ago.