Europe Movers: Barclays, Fresenius Medical Care, InterContinental Hotels

Inga Muller
20 Feb, 2024
Frankfurt

European markets traded sideways, and investors reacted to earnings from domestic corporations. 

In addition, EU passenger car sales rebounded in January, and the current account swung to surplus in 2023 from a deficit in 2022. 

The DAX index decreased by 0.2% to 17,057.49, the CAC-40 index rose 0.3% to 7,792.92, and the FTSE 100 index inched higher by 0.04% to 7,731.61.

The yield on 10-year German bonds edged down to 2.37%; French bonds inched higher to 2.84%; the UK gilts edged lower to 4.05%; and Italian bonds inched higher to 3.86%.

Barclays PLC increased 5.7% to 157.50 pence after the UK-based bank reported weak quarterly results. 

Total revenue in the fourth quarter declined 3% to £5.6 billion from £5.8 billion, and net income attributable to shareholders swung to a loss of £111 million from a profit of £1.04 billion a year ago. 

The financial services company also said it plans to return £10 billion to shareholders between 2024 and 2026 through stock buybacks and dividends. 

Fresenius Medical Care decreased 0.3% to €26.51 despite the Germany dialysis firm reporting stronger-than-expected fourth quarter results. 

Revenue in the fourth quarter was flat at €4.98 billion, net income advanced to €188 million from €139 million, and basic earnings per share jumped 35% to 64 cents from 47 cents a year ago. 

The company estimated 2024 revenue growth at "a low- to mid-single-digit percent rate" and operating income at a "mid- to high-teen percent rate" compared to a year ago, respectively. 

InterContinental Hotels Group rose 3.8% to 8,216.0 pence after the company reported strong financial results. 

Revenue in 2023 increased 18% to $4.6 billion from $3.9 billion, net income soared 99.5% to $750 million from $356 million, and basic earnings per share advanced 114% to $4.43 from $2.07 a year ago. 

In 2023, the company completed a stock buyback of $750 million and paid $245 million in dividends. 

The hospitality group also announced a new stock repurchase program of $800 million and plans to return to shareholders about $1 billion, including dividends, in 2024. 

The company increased its final dividend by 10% to $1.04, increasing its total dividend in 2023 to $1.523 per share.