Adidas Net Jumps, Credit Suisse Beats Estimates; Swiss Re Net Drops

Sarla Buch
03 Nov, 2016
New York City

Adidas profit surged 24% and the athletic shoe maker lifted fiscal outlook. Credit Suisse net tumbled 95% but the bank results were ahead of analysts expectations. ING Group net soared 27%. Swiss Re profit plunged 17% but revenues jumped 10%. Societe Generale net soared 41%.

[R]4:00 PM Frankfurt – Adidas profit surged 24% and the athletic shoe maker lifted fiscal outlook. Credit Suisse net tumbled 95% but the bank results were ahead of analysts expectations. ING Group net soared 27%. Swiss Re profit plunged 17% but revenues jumped 10%. Societe Generale net soared 41%.[/R]

In London trading, FTSE 100 index slumped 31.52 or 0.5% to 6,811.67 and in Frankfurt the DAX index slid 5.15 to 10,365.78.

In Paris, CAC 40 index increased 18.29 or 0.4% to 4,432.81.

Adidas AG plunged 7.6% to €135.35 after Germany-based athletic and sports lifestyle products maker said revenues in the third-quarter ending in September soared 13.8% from a year ago to €5.4 billion.

Net profit in the quarter surged 24.2% from a year ago to €386 million compared to the €311 million and diluted earnings per share increased to €1.88 from €1.55.

Adidas brand sales in the quarter jumped 15.8% to €4.6 billion and sales in Reebok segment increased 3.6% to €493 million and sales in TaylorMade-adidas Golf business advanced 7% to €170 million.

The sports lifestyle products maker forecasted group sales in full-year to increase at a high-teens rate and net income to improve between €975 million and €1 billion.

Adidas estimated gross margin in the year to increase between 48% and 48.3% and operating margin to increase up to 7.5%.

Credit Suisse Group AG declined 5.6% to $12.83 after Switzerland-based financial services provider reported net revenues in the third-quarter ending in September plummeted 8.4% from a year ago to 5.6 billion Swiss francs.

Net income in the quarter tumbled 94.7% from a year ago to 41 million francs compared to the 779 million francs and diluted earnings per share slumped to 0.02 francs from 0.44 francs.

However, quarterly profit was ahead of 120 million franc loss expectations set by analysts as chief executive officer Tidjane Thiam''s turnaround plan started delivering results.

The bank said general and administrative expenses dropped 6% while commission expenses declined 23%.

ING Group NV jumped 2.7% to €11.88 after the Netherlands-based banking and financial services provider said revenues in the third-quarter ending in September advanced 9% from a year ago to €4.4 billion.

Net profit in the quarter soared 26.8% from a year ago to €1.4 billion compared to the €1.1 billion and diluted earnings per share increased to €0.35 from €0.28.

Swiss Re AG gained 1.2% to 91.05 Swiss francs after the Switzerland-based reinsurance services provider said revenues in the nine-month period ending in September jumped 9.6% from a year ago to $24.7 billion.

Net profit in the quarter plunged 16.9% from a year ago to $3.04 billion compared to the $3.66 billion and diluted earnings per share dropped to $9.15 from $10.69.

The insurance services provider said ""net income was supported by large and tailored transactions and a strong investment result.”

Societe Generale surged 6.4% to €36.37 after France-based banking, insurance and financial services provider reported revenues in the third-quarter ending in September slumped 5.5% from a year ago to €6.01 billion.

Net income in the quarter jumped 41.2% from a year ago to €1.3 billion compared to the €904 million and diluted earnings per share advanced to €0.35 from €0.28.