Europe Movers: Delivery Hero, Glencore, Hill & Smith, Informa, RWE, Vodafone

Inga Muller
14 Nov, 2023
New York City

European markets extended gains, and bond yields hovered near two-month lows after policymakers signaled stable rates for the next couple of quarters.  

The DAX index increased 0.3% to 15,392.26, the CAC-40 index advanced 0.06% to 7,091.70, and the FTSE 100 index fell 0.2% to 7,405.97.

The yield on 10-year German bonds was unchanged at 2.70%; French bonds traded higher to 3.27%; the UK gilts held at 4.29%; and Italian bonds inched higher to 4.55%.

Glencore PLC increased 2.8% to 442.35 pence after the UK-based resource company agreed to acquire a coal business owned by Canada-based Teck Resources Ltd. for $6.93 billion.

Glencore agreed to acquire a 77% stake in Elk Valley Resource; Japan-based Nippon Steel Corporation plans to increase its stake to 20%; and South Korea-based POSCO agreed to hold the remaining 3% stake in the company. 

Elk Valley Resource's steel-making coal production in 2022 was 21.5 million tons, and 17.3 million tons in the nine months to September 2023.

Profit before tax in 2022 was C$6.0 billion and C$3.1 billion in the first nine months to September 2023.

Informa PLC gained 5.2% to 738.79 pence after the event manager lifted its full-year outlook.

The event and textbook company said revenue in the 10-month period increased by 31.7%, raised its full-year revenue estimate to £3.15 billion from £3.05 billion, and revised its adjusted operating profit to £840 million from £790 million.

The company expanded its stock repurchase plan by £150 million to £1.15 billion through March 7, 2024.

Hill & Smith PLC increased 2% to 1,789.59 pence after the engineering services provider said revenue in the four-month period to October 31 increased 15% in constant currencies.

The company said it anticipates full-year operating earnings toward the upper end of the analyst consensus estimate between £116.0 million and £118.6 million.

Vodafone Group plc declined 3.6% to 74.62 pence after the UK-based telecom operator swung to a loss on a decline in revenue, reflecting adverse foreign exchange rates and discontinued business operations.

The results reflect the disposal of Vantage Towers, Vodafone Hungary, and Vodafone Ghana in the prior financial year.

Group revenue in the fiscal first half decreased 4.3 to €21.95 billion from €22.9 billion, and the company swung to a loss of €155 million from €1.2 billion. Basic earnings per share were a loss of 1.28 cents compared to a profit of 3.37 cents.

Net debt declined to €36.2 billion from €45.5 billion a year ago.

The company announced an interim dividend of 4.5 euro cents to shareholders on November 24.

RWE AG advanced 1.7% to €36.91 after the German utility company reported an 82% surge in core profit for the first nine months.

Delivery Hero SE increased 4.1% to €28.0 after the Germany-based online food delivery company raised its full-year outlook.