European Indexes Turn Lower; Admiral, Carlsberg, Wirecard Net Jump

Sarla Buch
17 Aug, 2016
New York City

Admiral Group said net income rose 3% on 14% jump in revenues and added its solvency ratio declined after the Brexit referendum. Balfour Beatty net loss narrowed. Carlsberg profit soared 25% but revenues fell 4%. Wirecard said revenues advanced 33%.

[R]4:00 PM Frankfurt – Admiral Group said net income rose 3% on 14% jump in revenues and added its solvency ratio declined after the Brexit referendum. Balfour Beatty net loss narrowed. Carlsberg profit soared 25% but revenues fell 4%. Wirecard said revenues advanced 33%.[/R]

European markets traded sideways as investors reacted to domestic corporate earnings.

In London trading, FTSE 100 index slipped 31.69 or 0.5% to 6,862.23 and in Frankfurt the DAX index dropped 117.66 1.1% to 10,558.88.

In Paris, CAC 40 index slumped 33.86 or 0.8% to 4,427.01.

On the economic front, jobless rate in the U.K. for the three months to June declined to 4.9% from 5.6% in a year ago period.

Though the number of unemployed were unchanged from the previous quarter to March but fell by 207,000 in the period a year ago.

Earnings Review

Admiral Group Plc plunged 7.9% to 2,075 pence after the U.K.-based automobile insurer said net revenues in the first-half ending in June soared 14.3% from a year ago to £511.5 million.

Net profit in the period rose 3.4% from a year ago to £153.3 million compared to the £148.3 million and diluted earnings per share rose to 55.8 pence from 54.7 pence.

Balfour Beatty Plc advanced 4.2% to 254.60 pence after the U.K.-based infrastructure developer stated group revenues in the first-half ending on July 1 fell 4.3% from a year ago to £3.32 billion.

Net loss in the period narrowed from a year ago to £11 million compared to the £150 million and diluted loss per share slumped to 1.6 pence from 21.9 pence.

Carlsberg A/S declined 5.2% to 645 Danish kronor and the Denmark-based beer and beverage maker reported revenues in the first-half ending in June dropped 3.6% from a year ago to 31.24 billion kroner.

Net profit in the period soared 24.7% from a year ago to 1.87 billion kroner compared to the 1.50 billion kroner and diluted earnings per share increased to 12.2 kronor from 9.8 kronor.

Wirecard AG slumped 2.3% to €39.96 after the Germany-based electronic payment provider said revenues in the first-half ending in June advanced 32.8% from a year ago to €451.8 million.

Net profit in the period surged 173.9% from a year ago to €166.8 million compared to the €60.9 million and diluted earnings per share advanced to €1.35 from €0.49.