Europe Movers: Hugo Boss, Novo Nordisk, Teleperformance, Smurfit Kappa, Shell, Standard Chartered, Vestas

Inga Muller
02 May, 2024
Frankfurt

European markets lacked direction amid interest rate uncertainties and ongoing weakness in the manufacturing sector. 

The DAX index decreased by 0.1% to 17,912.18; the CAC-40 index fell by 0.9% to 7,909.23; and the FTSE 100 index inched higher by 0.4% to 8,150.63. 

The yield on 10-year German bonds edged up to 2.55%; French bonds inched lower to 3.04%; the UK gilts edged lower to 4.31%; and Italian bonds inched higher to 3.87%.

Shell PLC gained 1% to 2,847.51 pence after the oil giant reported better-than-expected first-quarter earnings and announced a $3.5 billion stock repurchase plan, which is expected to be completed in the second quarter. 

Revenue in the first quarter decreased to $74.7 billion from $89.02 billion, net income dropped to $11.0 billion from $14.3 billion, and diluted earnings per share fell to $1.13 from $1.25. 

The company announced a first-quarter cash dividend of 34.4 cents per share and added that it returned to shareholders $5 billion through repurchases of $2.8 billion and a cash dividend of $2.2 billion. 

Standard Chartered increased 5.4% to 732.60 pence after the financial services provider reported stronger-than-expected first-quarter profit amid elevated interest rates and higher demand for its wealth management services. 

Smurfit Kappa Group advanced 4.5% to 3,638.0 pence after the packaging material maker reported first-quarter revenue of €2.7 billion. 

Hugo Boss declined 9.4% to €45.77 after the German fashion retailer reported better-than-expected first-quarter earnings and projected revenue growth in the current year. 

The fashion group said revenue in the first quarter increased 5% to €1.01 billion from €968 million, driven by sales increases in both BOSS and HUGO brands, across all channels, and across all regions.

Net income in the quarter increased 7% to €41 million from €38 million, and earnings per share rose to 55 cents from 50 cents a year ago, respectively. 

The company reiterated its full-year revenue between €4.30 billion and €4.45 billion, representing growth between 3% and 6%. 

The fashion house estimated operating earnings to range between €430 million and €475 million, an increase between 5% and 15% from a year ago. 

Teleperformance increased 8.2% to €92.50 after the French business service provider said first-quarter revenue rose 26.7%, driven largely by the integration of the Dutch rival Majorel last year. 

Novo Nordisk decreased 2.5% to DKK 875.60 despite the Danish pharmaceutical company reporting better-than-expected first-quarter earnings. 

Vestas Wind System declined 3.2% to DKK 180.85 after the Danish wind turbine maker reported a surprise loss in the first quarter. 

Revenue in the first quarter declined 5.2% to €2.68 billion from €2.82 billion, and net income in the period swung to a loss of €75 million from a profit of €16 million a year ago. 

The company reiterated its full-year revenue outlook between €16 billion and €18 billion and its operating income margin before special items between 4% and 6%.