Earnings season. LVMH, SAP SE, Chugai, NXP Semiconductors, UCB, Michelin, Ryanair, Edenred, KPN, Hasbro, ADP Group and Atos are among companies reporting their results today.
Hasbro, the American toy maker, published today a turnover inferior to forecasts due to store closures and late movie releases.
Under Armour’s share lost 5% after it revealed that it received a notification from the Securities and Exchange Commission regarding an investigation on its accounting practices.
IPO for an SAP subsidiary. SAP SE will spin off its subsidiary Qualtrics through an IPO on the Nasdaq, retaining a majority stake, based on a valuation of around $8 billion. The German group has also announced an increase in its results in the second quarter, despite the pandemic. Annual targets have been confirmed.
Wirecard is in demand. A statement by Wirecard’s provisional administrator revealed that dozens of suitors had signed the confidentiality agreement for the resumption of the German fintech's core business. The provisional administrator in charge of the insolvency proceedings against the insolvent company revealed that he had received 77 expressions of interest that passed the confidentiality agreement from third parties for the core business.
In the red. Ryanair lost €185 million in the 2nd calendar quarter (the company's 1st fiscal quarter) as a result of Covid-19. This is less than the €200 million feared in the worst-case scenario. Management is not making any forecasts for the current year and fears the effect of a second wave. It puts forward a robust financial situation, thanks to a cash position of €3.9 billion.
HSBC challenged in China. HSBC holdings had to rely on a press release to refute rumors of cooperation with the US public prosecutor's office in order to trap Huawei. The rumors originated in the official Chinese media. However, the British bank confirmed that it had responded to a request for information from the US justice system, as it would have done with any of its other clients.
Capital increase for IAG? International Consolidated Airlines (British Airways, Iberia, Vueling, Aer Lingus...) plans to raise €2.75 billion to get through the aviation crisis. The carrier was forced to admit that it was working on such an operation, after leaks in the press.
Jackpot for Daiichi Sankyo. AstraZeneca has signed a development agreement with Daiichi Sankyo, for the oncology candidate DS-1062, which could bring the Japanese group up to $6bn, including $1bn in upfront payments.
In other news. The TCI Fund complained to the European Commission about the expropriation of the transalpine motorway concessions of Autostrade per l'Italia (Atlantia) by the Italian government. The oil services group Schlumberger is to cut a quarter of its worldwide workforce, or 21,000 jobs. The hearing of tech giants (Alphabet, Apple, Facebook, Amazon.com) by the US Congress, originally scheduled for today, has been postponed to an unspecified date. McDonald's is imposing masks in all its restaurants in the United States. Steinhoff is offering $1bn to settle all litigation against it.