Europe Movers: Glencore, HSBC, MTU Aero Engines, Philips, Temenos

Inga Muller
19 Feb, 2025
Frankfurt

European stock market indexes turned lower amid economic uncertainty and rising geopolitical tensions. 

Bond yields in the eurozone advanced for the fourth consecutive session, and the UK's consumer price inflation accelerated in January.

The DAX index decreased by 0.8% to 22,673.01, the CAC-40 index edged lower 0.8% to 8,139.37, and the FTSE 100 index declined by 0.5% to 8,725.49.

The yield on 10-year German bonds inched higher to 2.53%, French bonds increased to 3.19%, the UK gilts moved up to 4.61%, and Italian bonds edged higher to 3.58%.

 

Europe Stock Movers

HSBC Holdings plc decreased 0.3% to 895.40 pence, and the Hong Kong- and London-based financial service provider reported a 2% increase in profit in 2024.

The company said it plans to pay a cash dividend of 36 U.S. cents for the fourth quarter, increasing its total payout to 87 U.S. cents in the year, compared to 61 U.S. cents in 2023. 

BAE Systems plc increased 1.3% to 1,354.0 pence after the defense company reported strong 2024 results. 

Glencore PLC dropped 7.5% to 328.60 pence, and the mining company reported a sharp decline in earnings in 2024.

Philips NV plunged 10.5% to €24.26 after the Dutch medical device maker reported larger-than-expected losses in 2024.

MTU Aero Engines AG decreased 6.3% to €325.0, and the German engine maker said net income in the fourth quarter decreased to €143 million from €215 million a year ago.

 

Recent Earnings Movers 

Temenos AG gained 1.2% to CHF 79.75 after the banking software company reported positive pipeline development in the fourth quarter ended in December.

Revenue increased to $318.92 million from $298.00 million, profit climbed to $77.0 million from $43.90 million, and earnings per diluted share rose to $1.08 from 60 cents a year ago.

The company said that annual recurring revenue (ARR) of cloud services made up 43% of the quarter's total ARR.

The Switzerland-based company lowered its full year 2028 targets to reflect the $400 million sale of its fund administration software business Multifonds, announced earlier in February.

For fiscal 2025, Temenos estimated revenue growth of at least 12%, and software as a service growth between 5% and 7%.

The company paid dividends of $1.33 per share within the last twelve months.

HSBC Holdings Plc. gained 1.8% to 897.20 pence after the London-based bank reported higher profit for fiscal year 2024.

Revenue declined to $65.85 billion from $66.06 billion, profit rose to $24.99 billion from $24.56 billion, and earnings per diluted share increased to $1.24 from $1.14 a year ago.

Dividends paid to shareholders were $16.41 billion in 2024, compared to $11.59 billion in 2023.

The company approved a fourth interim dividend of 36 cents per share, payable on April 25 to holders on record as of March 7, for a total of approximately $6.4 billion.

In addition, HSBC will repurchase up to $2 billion in shares, with the buyback expected to be completed by the end of the first quarter of 2025.

Glencore Plc. gained 0.8% to 353,25 pence after the Anglo-Swiss commodity trading and mining company reported higher revenue in fiscal year 2024.

Revenue increased 6% to $230.94 billion from $217.83 billion, net income swung to a loss of $1.63 billion from a profit of $4.28 billion, and loss per diluted share was 13 cents compared to a positive 34 cents a year ago.

For fiscal 2025, the company estimated revenue between $195.77 billion and $260.05 billion.

Glenore announced a stock repurchase program of up to $1 billion and completing the purchase on or before August 6.