Tech and Web NEWS

Royal Philips coming out of the recession, Posts Unexpected Profit, helps European stocks advance

By Steve Gavriliuc for CEOWORLD Magazine Updated:October 12, 2009

Royal Philips Electronics NV, Europe’s biggest consumer-electronics maker, unexpectedly posted a profit in the third quarter as operating earnings at the consumer unit more than doubled.

Third-quarter net income jumped to 174 million euros ($256 million), or 19 cents a share, from 57 million euros, or 6 cents, in the year-earlier period, the Amsterdam-based company said today. Analysts had predicted a loss of 44.7 million euros, the average of 13 estimates compiled by Bloomberg.

European shares were higher in early trade on Monday, with banks and commodity shares topping the risers and Philips Electronics (PHG.AS) gaining after its third-quarter results beat forecasts.

Banks were the top gainers, although individual stocks were mixed in the sector. HSBC (HSBA.L), Banco Santander (SAN.MC) and Deutsche Bank (DBKGn.DE) were up 0.8 to 1.4 percent. Barclays (BARC.L) fell 0.7 percent.

British bank Lloyds (LLOY.L) slipped 0.2 percent after the Sunday Times reported it has lined up a syndicate of investment banks to underwrite an 11 billion-pound ($17.6 billion) rights issue.

BG Group (BG.L), BP (BP.L), Dana Petroleum (DNX.L) and Total (TOTF.PA) gained 0.3 to 3.6 percent. Nokia (NOK1V.HE) gained 2.5 percent ahead of results on Thursday.

Later in the week results are due from IBM (IBM.N), Intel (INTC.O), JPMorgan Chase (JPM.N), Goldman Sachs (GS.N), Bank of America (BAC.N) and General Electric (GE.N). Roche (ROG.VX), GlaxoSmithKline (GSK.L) and Novartis (NOVN.VX) were up 0.9 to 1.2 percent.

Carlsberg (CARLb.CO) and Heineken (HEIN.AS) losing 2 to 2.4 percent.

Philips helped lead the gains in Europe’s Stoxx 600, adding 6.1 percent in Amsterdam, while energy companies rose with oil. Total SA, Europe’s biggest refiner, rose 1.2 percent in Paris.

Like this article! ‹ Vladimir Putin visit- China and Russia energy ties Ambani brothers Gas dispute- Anil Ambani wishes to reconcile with brother Mukesh ›
Share this Post: Get It Delivered To Your Inbox