Siemens, Volvo Net Soar; Electrolux Net Swings to Profit

Sarla Buch
01 Feb, 2017
New York City

Electrolux net swung to profit and the consumer appliance maker lifted dividend. Julius Baer adjusted group net profit more than doubled. Siemens lifted earnings forecast. Wacker Chemie net tumbled 21%. Volvo profit soared 86%.

[R]4:00 PM Frankfurt – Electrolux net swung to profit and the consumer appliance maker lifted dividend. Julius Baer adjusted group net profit more than doubled. Siemens lifted earnings forecast. Wacker Chemie net tumbled 21%. Volvo profit soared 86%.[/R]

In London trading, FTSE 100 index rose 15.47 or 0.2% to 7,116.59 and in Frankfurt the DAX index soared 176.29 or 1.5% to 11,711.60.

In Paris, CAC 40 index jumped 58.05 or 1.2% to 4,806.93.

Electrolux AB gained 1.3% to 249.90 Swedish kronor after Sweden-based home appliances maker reported revenues in the fourth-quarter ending in December increased 1% from a year ago to 32.14 billion kronor.

Net in the quarter swung to profit 1.27 billion kronor compared to a loss of 394 million kronor and diluted earnings per share swung to 4.40 kronor from a diluted loss per share of 1.37 kronor.

Electrolux said board proposed to increase dividend for 2016 to 7.50 kronor per share from 6.50 kronor per share for 2015.

Julius Baer Gruppe AG rose 0.2% to 46.33 Swiss francs after Switzerland-based banking services provider said net commission and fee income in the year ending in December advanced 2.8% from a year ago to 1.6 billion francs.

Net profit in the year surge to 622.1 million francs from 122.5 million francs in a year ago period and diluted earnings per share jumped to 2.84 francs from 0.55 francs.

The lender said addition of net new money jumped 4% to 12 billion francs and assets under management soared 12% to 336 billion kronor and adjusted group net profit surged 153% to 706 million francs.

Siemens AG jumped 4.4% to €122.71 after Germany-based industrial conglomerate reported revenues in the first-quarter ending in December increased 1% from a year ago to €19.1 billion.

Net income in the quarter soared 25% from a year ago to €1.9 billion compared to the €1.6 billion and diluted earnings per share increased to €2.35 from €1.89 in the same period a year ago.

Siemens said industrial business profit margin up to 13%; industrial business profit surged 26% year-over-year to €2.5 billion.

The industrial conglomerate raise profit margin estimate in industrial business to 11% to 12% from the previously forecasted range of 10.5% to 11.5%.

The power turbines, trains and medical machines maker lifted earnings per share forecast in fiscal 2017 to between €7.20 and €7.70 from the earlier estimated range of €6.80 to €7.20.

Wacker Chemie AG slumped 3.2% to €108.05 after Germany-based specialty chemicals producer stated sales in the year increased 2% from a year ago to €5.4 billion.

Net income in the year tumbled 21% from a year ago to €190 million compared to the €242 million and diluted earnings per share increased to €2.35 from €1.89 in the same period a year ago.

“Our chemical business performed well in the fourth quarter, and we also saw good volume growth in semiconductor wafers and poly-silicon,” said group chief executive officer Rudolf Staudigl.

Volvo AB jumped 6.1% to 118.60 Swedish kronor after Sweden-based buses and trucks manufacturer said net sales in the fourth-quarter ending in December advanced 4% from a year ago to 82.6 billion kronor.

Net profit in the quarter soared 86% from a year ago to 4.8 billion kronor compared to the 2.6 billion kronor and diluted earnings per share rose to 2.37 kronor from 1.27 kronor.

Volvo said trucks delivery in the quarter dropped 10% to 50,489 from the same period a year ago.