P&G in $4 B Deal with Germany Based Merck, American Express Soars

Mukesh Buch
19 Apr, 2018
New York City

Alcoa lifted fiscal outlook and reported a decline in earnings. American Express profit surged 31%. BNY Mellon reported better-than-expected results. BB&T reported record profit in the quarter. Blackstone revenues declined. Procter & Gamble reported flat earnings.

[R]12:05 PM New York City, New York – Alcoa lifted fiscal outlook and reported a decline in earnings. American Express profit surged 31%. BNY Mellon reported better-than-expected results. BB&T reported record profit in the quarter. Blackstone revenues declined. Procter & Gamble reported flat earnings.[/R]

Tollbooth Index fell 56.95 or 0.4% to 14,805.12 and for the year-to-date jumped 7.5%.

Earnings Review

Alcoa Corporation ((AA)) jumped 4.9% or $2.90 to $62.30 after the aluminum producer said revenues in the first-quarter ending in March soared 14.8% from a year ago to $3.1 billion.

Net income in the quarter plunged 33.3% to $150 million or 80 cents per diluted share from $225 million or $1.21 in the same quarter last year.

Alcoa lifted fiscal 2018 operating profit forecast in the range of $3.5 billion to $3.7 billion from the earlier estimate of $2.6 billion to $2.8 billion.

American Express Company ((AXP)) soared 6.6% or $6.28 to $101.43 after the charge card services provider reported total revenues in the first-quarter ending in March jumped 12% from a year ago to $9.7 billion.

Net income in the quarter surged 31% to $1.6 billion or $1.86 per diluted share from $1.3 billion or $1.35 in the same quarter last year.

The Bank of New York Mellon Corporation ((BK)) advanced 4.8% or $2.51 to $54.77 after the financial services provider said total revenues in the first-quarter ending in March advanced 9% from a year ago to $4.2 billion.

Net income in the quarter soared 24% to $1.2 billion or $1.10 per diluted share from $937 million or 83 cents in the same quarter last year.

The bank said higher equity markets and weaker dollar hit double-digit growth in assets services and management businesses.

BB&T Corporation ((BBT)) increased 2.1% or $1.04 to $51.67 after the commercial and retail banking services provider said total revenues in the first-quarter ending in March rose 1.1% from a year ago to $2.8 billion.

Net income in the quarter surged 97.1% to $745 million or 94 cents per diluted share from $378 million or 46 cents in the same quarter last year.

Blackstone Group LP ((BX)) gained 2.5% or 79 cents to $32.57 after the asset management services provider stated total revenues in the first-quarter ending in March declined 8% from a year ago to $1.8 billion.

Net income in the quarter slumped 16% to $842.3 million or 53 cents per diluted share from $1 billion or 68 cents in the same quarter last year.

Philip Morris International Inc ((PM)) tumbled 15.4% or $15.62 to $85.82 after the tobacco products maker reported revenues in the first-quarter ending in March jumped 13.7% from a year ago to $6.9 billion.

Net income in the quarter dropped 2.1% to $1.56 billion or $1 per diluted share from $1.59 billion or $1.02 in the same quarter last year.

The Procter & Gamble Company ((PG)) slipped 2.5% or $1.93 to $75.55 after the consumer product maker said net sales in the third-quarter ending in March increased 4% from a year ago to $16.3 billion.

Net income in the quarter was flat at $2.5 million from a year ago period and diluted earnings per share increased 95 cents from 93 cents in the same quarter last year.

Procter & Gamble today agreed to acquire the consumer health business of Germany-based drug maker Merck KGaA for about €3.4 billion or $4.21 billion.