Investors Focus on Barclays, Deutsche Bank Trading Revenues; Nokia Tumbles

Sarla Buch
26 Oct, 2017
New York City

Barclays declined on weak trading revenues. Deutsche Bank trading slump but profit surged. Nokia tumbled on gloomy outlook but profit doubled. Schneider Electric lifted revenues forecast. Banco Santander net soared but investors stay tuned for Catalonia decision.

[R]4:00 PM Frankfurt – Barclays declined on weak trading revenues. Deutsche Bank trading slump but profit surged. Nokia tumbled on gloomy outlook but profit doubled. Schneider Electric lifted revenues forecast. Banco Santander net soared but investors stay tuned for Catalonia decision.[/R]

In London trading, FTSE 100 index increased 32.09 or 0.4% to 7,478.50 and in Frankfurt the DAX index advanced 86.43 or 0.7% to 13,040.39.

In Paris, CAC 40 index jumped 53.56 or 1% to 5,428.12.

Barclays Plc declined 5.6% to 185.95 pence after the U.K.-based banking and financial services provider reported group revenues in the nine-month ending in September fell 2% from a year ago to £16.1 billion.

Net in the period swung to a loss of £628 million from profit of £1.5 billion in a year ago nine-month period and diluted loss per share swung to 10.8 pence from diluted earnings per share of 8.1 pence.

However, Barclays U.K. reported net profit in the third-quarter surged 37% to £608 million from £445 million in the same period a year ago.

Barclays said credit impairment charges jumped 21% to £1.1 billion and operating expenses increased 4% to £6.9 billion and as of September 30, total assets increased to £867.1 billion.

Deutsche Bank AG slipped 1.8% to €14.26 after Germany-based banking services provider said net group revenues in the third-quarter ending in September declined 9.3% from a year ago to €6.8 billion.

Net income in the period surged to €649 million from €278 million in a year ago nine-month period.

Nokia Oyj tumbled 15.3% to €4.32 after Finland-based network and Internet protocol services provider said net sales in the nine-month ending in September dropped 4% from a year ago to €16.6 billion.

Net profit in the period nearly doubled to €1.2 billion from €605 million in a year ago nine-month period and diluted earnings per share jumped to €0.20 from €0.11.

Nokia estimated fiscal 2018 mobile networks business to decline between 2% and 5% but committed to cost savings plan of about €1.2 billion.

Schneider Electric SE gained 0.2% to €73.24 after France-based electricity provider said revenues in the nine-month ending in September rose 1.8% from a year ago to €18.1 billion.

Net income in the period rose 0.1% to €1.853 billion from €1.851 billion in a year ago nine-month period and diluted earnings per share advanced to €3.99 from €3.98.

The utility provider lifted fiscal 2017 revenues forecast of about 4% from the earlier estimate of 1% to 3% but performance for medium voltage segment may increase in low single digit.

Banco Santander, S.A jumped 3.8% to €5.84 after Spain-based retail and commercial bank reported net interest income in the nine-month ending in September surged 11.7% from a year ago to €25.7 billion.

Net income in the period soared 10.2% to €5.1 billion from €4.6 billion in a year ago nine-month period and diluted earnings per share advanced to €0.32 from €0.30.

The bank estimated total restructuring costs of about €1.3 billion related to the Banco Popular deal.

""We confident to meet all commercial and financial targets, including delivering double digit earnings per share growth by 2018,"" said executive chairman Ana Botin.