BASF Earnings Soar 50%, Ceconomy Net Drops

Sarla Buch
19 Jan, 2018
New York City

BASF annual sales and profit surged. Ceconomy forecasted profit to decline despite higher sales. Remy Cointreau reported third-quarter sales above the estimates. Dignity tumbled on profit warning after lower funeral prices. Software estimated lower profit.

[R]4:00 PM Frankfurt – BASF annual sales and profit surged. Ceconomy forecasted profit to decline despite higher sales. Remy Cointreau reported third-quarter sales above the estimates. Dignity tumbled on profit warning after lower funeral prices. Software forecasted lower profit on the account of charges related to U.S. tax reform.[/R]

In London trading, FTSE 100 index advanced 29.35 or 0.4% to 7,729.52 and in Frankfurt the DAX index jumped 151.89 or 1.1% to 13,432.34.

In Paris, CAC 40 index increased 32.92 or 0.6% to 5,528.07.

For the week, FTSE 100 index slipped 0.6%, the DAX index jumped 1.4% and the CAC 40 index rose 0.2%.

BASF SE jumped 2.5% to €98.50 after Germany-based specialty chemical maker said sales in the year ending in December soared 12% from a year ago to €64.5 billion and operating profit surged 32% to €8.3 billion.

BASF estimated net income in the year to jump 50% to €6.1 billion from a year ago period.

Ceconomy AG, formerly known as Metro AG plunged 13.8% to €11.25 after Germany-based consumer electronics retail estimated sales in the first-quarter ending in December to increase 0.5% from a year ago to €6.9 billion but operating profit to decline 16% to €260 million from €308 million in the same period a year ago.

Ceconomy is schedule to release its first quarter earnings results on February 9.

Dignity Plc tumbled 49.7% to 963.50 pence after the U.K.-based funeral related services provider said results in fiscal 2017 will be in-line with expectations but results in fiscal 2018 will be “substantially below the market''s current expectations,” driven by reduction in the simple funeral prices of about 25%.

Remy Cointreau dropped 2.9% to €107.40 after France-based wines and spirits producer reported sales in the nine-month period ending in December jumped 3% from a year ago to €862.1 million on the later arrival of the 2018 Chinese New Year.

Software AG advanced 1.7% to €48.68 after Germany-based software developer said fiscal 2018 after-tax profit to improve to mid-single digit euro-range and group earnings per share to increase in the range of 5% to 10%, after taking into the account the U.S. Federal tax reform.