All articles tagged with #quarterly profit
Samsung Electronics more than doubled its third-quarter operating profit to 12.2 trillion won, driven by a strong recovery in its chip division, especially memory chips, amid a broader memory market boom and rising AI demand, surpassing estimates and signaling a positive outlook for the company.
GameStop's stock fell over 4% after its Q1 revenue missed expectations despite posting its fourth consecutive profit and making its first bitcoin purchase, with revenue dropping to $732.4 million from $881.8 million year-over-year, and the company holding $6.4 billion in cash and securities.
Goldman Sachs has increased banker pay and bonuses by 17% after a 150% surge in quarterly profits, driven by a rebound in dealmaking. The firm spent $4.2 billion on compensation and benefits in the second quarter, reflecting improved operating performance. Profits were boosted by significant business deals, including ExxonMobil's $60 billion takeover of Pioneer Natural Resources. The brighter economic outlook and potential interest rate cuts are expected to further increase demand for banking services and larger bonuses for staff.
Dell Technologies shares fell by about 18% as the company anticipates that heavy investments in AI will reduce its quarterly profit and annual margin. Despite a significant rise in stock value this year, Dell's AI-server sales, which have doubled but still represent a small portion of total revenue, are expected to be margin-dilutive. The company's mainstay PC business remains flat, with the consumer segment down 15%, though there are signs of stabilization.
Dell Technologies shares fell by about 18% as the company anticipates that heavy investments in AI will reduce its quarterly profit and annual margin. Despite a significant rise in stock value this year, Dell's AI-server sales, though growing, still contribute minimally to overall revenue and are margin-dilutive. The company's mainstay PC business remains flat, with consumer sales down 15%, but is showing signs of stabilization.
Chipotle's board of directors has approved a 50-for-1 split of its common stock, causing the company's shares to rise about 7% in extended trading. The stock split, subject to shareholder approval, is expected to be one of the biggest in New York Stock Exchange history and would give shareholders 49 additional shares for each share held. The move comes after Chipotle's strong performance, with its shares reaching a record high and gaining over 70% in the last 12 months, driven by better-than-expected quarterly profit and sales.
Moderna surprised with a quarterly profit despite a drop in Covid vaccine sales, attributing the profit to deferred revenue and lower-than-expected cost of sales. The company reported a net income of $217 million and $2.81 billion in revenue for the fourth quarter, with Covid shot sales declining by 43% from the same period a year ago. Moderna expects further sales decline in 2024 but reiterated its full-year 2024 sales guidance and plans to reduce expenses, aiming to return to sales growth in 2025 and break even by 2026 with the launch of new products.
HSBC Holdings' stock is down nearly 9% after the bank took a $3 billion hit from its operations in China, leading to an 80% drop in quarterly profit. Analysts are concerned about unclear guidance and described the results as "messy," with lower-than-expected final dividend potentially weighing on the stock in the short term. The company reported an 11% decrease in revenue and emphasized implementing cost discipline and targeting cost growth of approximately 5% for 2024 compared to 2023.
BlackBerry, the Canadian technology company, has reported a surprise quarterly profit driven by strong demand for its cybersecurity services amid increasing online threats. While overall IT spending has decreased, cybersecurity-related expenditure has remained stable as businesses and governments prioritize strengthening their systems against hackers. BlackBerry plans to separate its IoT and Cybersecurity businesses into fully standalone divisions and simplify its corporate structure to allow each business unit to operate independently and profitably. The company expects fourth-quarter revenue in the range of $150 million to $159 million.
BlackBerry, the Canadian technology company, has reported a surprise quarterly profit driven by strong demand for its cybersecurity services amid increasing online threats. While overall IT spending has decreased, cybersecurity-related expenditure has remained stable as businesses and governments prioritize strengthening their systems against hackers. BlackBerry plans to separate its IoT and Cybersecurity businesses into fully standalone divisions and simplify its corporate structure to operate independently and profitably. The company expects fourth-quarter revenue in the range of $150 million to $159 million.
DBS Group, Southeast Asia's largest lender, reported a 17% increase in third-quarter profit, reaching SG$2.63 billion ($1.94 billion), surpassing analysts' estimates. The bank attributed its success to a high-interest rate environment and a rise in net interest margin. DBS also declared a dividend of 48 Singapore cents per ordinary share for the quarter. The CEO, Piyush Gupta, expressed optimism for the coming year, citing the potential benefits of higher interest rates and the bank's strong balance sheet.
CVS Health Corp reported better-than-expected quarterly profit, driven by strong performance in its drugstores and pharmacy benefit management business, which offset higher-than-expected medical costs at its insurance unit. The company's health services business, including its pharmacy benefit management, saw an 8% growth in revenue, while its pharmacy and consumer wellness segment recorded a 6% revenue growth. CVS' insurance business also performed well, surpassing estimates in premiums, although medical costs were high due to increased utilization of services. Overall, CVS beat analysts' estimates for both product revenue and adjusted profit per share.
Spotify reported a surprise profit of 65 million euros ($69.1 million) in the third quarter, beating analysts' expectations of a loss. The company's CFO, Paul Vogel, stated that they have hit an inflection point and expect to consistently be profitable moving forward. The stock surged by as much as 11% following the earnings call. Spotify achieved higher gross margins and lower costs due to recent price hikes and cost-cutting initiatives. Concerns were raised about the impact of the company's audiobooks push on margin growth, but management reassured investors that it would not derail their progress. Free cash flow also improved significantly. Wall Street analysts praised the report and expressed optimism about Spotify's long-term potential.
Bank of Montreal (BMO) and Bank of Nova Scotia (Scotiabank) missed analysts' estimates for quarterly profit as they set aside more funds to cover bad loans. The Bank of Canada's interest rate hikes have slowed the housing market and increased consumer debt, leading to higher provisions for potential loan losses. BMO's earnings were also affected by severance costs and legal provisions, while Scotiabank highlighted the impact of recessionary conditions on its international business. Both banks experienced a decline in income, but Scotiabank showed improvement in its capital position and expense management. The aggressive rate hikes have allowed banks to charge higher rates and boost net interest income.
Suncor Energy, Canada's second-largest oil producer, reported a 50% decrease in quarterly profit due to lower oil and gas prices. The company also took a C$275 million restructuring charge related to job cuts. However, Suncor's total upstream production increased by 3% in the quarter, aided by lower maintenance activities. The company's refinery utilization averaged 85% and its crude throughput climbed 1.3%. Suncor's adjusted operating earnings exceeded analysts' expectations. Peer companies, Imperial Oil and Cenovus Energy, also reported a decline in their quarterly profits.