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State Street Gains On Higher Q4 Profit

Australian Competition Regulator Seeks Views On Sika-MBCC Group Acquisition

The Australian Competition & Consumer Commission or ACCC, announced Friday that it is seeking views on a proposed court-enforceable divestiture undertaking offered by Sika AG (SXYAY.PK,SKFOF.PK) in relation to its proposed acquisition of MBCC Group.

Sika and MBCC Group supply construction chemicals and materials including chemical admixtures, fibres and concrete works.

The ACCC has preliminary concerns that the transaction would substantially lessen competition in Australia in the supply of chemical admixtures by combining the two largest suppliers resulting in a likely market share of approximately 80 percent.

To address the ACCC’s concerns, Sika is offering a court-enforceable undertaking to divest MBCC Group’s entire business including its subsidiary, Bluey Technologies in Australia and New Zealand.

This is part of a global remedy being proposed by the parties which would also commit Sika to divest MBCC Group’s admixture business in the European Economic Area, Switzerland, United Kingdom, United States and Canada including several research and development facilities.

The MBCC Group businesses would be sold to a single purchaser approved by the ACCC and relevant international competition agencies. The ACCC has liaised closely with other competition agencies in relation to the merger review and remedy proposal.

The ACCC invites submissions on the proposed undertaking by 3 February 2023.

State Street Corp. Bottom Line Advances In Q4

State Street Corp. (STT) announced a profit for its fourth quarter that increased from the same period last year

The company’s bottom line came in at $733 million, or $1.91 per share. This compares with $697 million, or $1.78 per share, in last year’s fourth quarter.

The company’s revenue for the quarter rose 3.6% to $3.16 billion from $3.05 billion last year.

State Street Corp. earnings at a glance (GAAP) :

-Earnings (Q4): $733 Mln. vs. $697 Mln. last year.
-EPS (Q4): $1.91 vs. $1.78 last year.
-Revenue (Q4): $3.16 Bln vs. $3.05 Bln last year.

European Economic News Preview: UK Retail Sales Data Due

Retail sales from the UK and producer prices from Germany are the top economic news due on Friday, headlining a light day for the European economic news.

At 2.00 am ET, the Office for National Statistics is scheduled to issue UK retail sales data for December. Sales are forecast to grow 0.5 percent on month, reversing a 0.4 percent fall in November.

In the meantime, producer prices are due from Germany. Producer price inflation is forecast to ease to 20.8 percent in December from 28.2 percent in November.

At 4.00 am ET, current account data from Greece and employment from Poland are due.

At 6.00 am ET, the Central Statistics Office is set to issue Ireland’s wholesale prices for December. Prices had increased 3.8 percent in November.

Telia Expects SEK 19.8 Bln Impairment To Hit Q4, FY22 Results

Telia Co. (0H6X.L,TLSNY.PK), a Swedish telecom firm, stated on Friday that a non-cash impairment of SEK 19.8 billion will negatively impact its operating income for the fourth quarter and fiscal 2022.

The telecom major noted that the impairment is reflecting the changed macroeconomic conditions and the company’s increased Weighted Average Cost of Capital or WACC due to higher market interest rates.

For the final quarter, the company will record non-cash impairment charges of SEK 9.5 billion for Finland, followed by SEK 8.5 billion for Norway, and SEK 1.1 billion for Denmark and Latvia.

In addition, there will be a SEK 0.3 billion non-cash impairment related to the C More brand following the move to consolidate the C More business under TV4 in Sweden and MTV in Finland in the future.

Finally, the move to fully dismantle the copper network in Sweden by 2026 has resulted in a non-cash impairment of network assets of SEK 0.4 billion.

Wayfair Gains On 10% Job Cuts

Wayfair Inc. (W) shares are rising more than 10 percent on Friday morning trade after announcing the reduction of 1750 employees or 10 percent of its global workforce as an effort to eliminate management layers and reorganize the company. This includes approximately 1,200 or 18 percent of corporate employees. The company expects annualized cost savings of around $750 million.

Further, the company said it now expects to reach its adjusted EBITDA breakeven commitment earlier in 2023.

Currently, shares are at $43.12, up 10.82 percent from the previous close of $38.91 on a volume of 2,900,457.

Reliance Industries Q3 Profit Down 15%

Reliance Industries Ltd. reported that its third quarter net profit attributable to owners of the company declined about 15% to 15,792 crore Indian rupees from last year.

But quarterly profit after tax, before considering impact of exceptional item, marginally improved by 0.6% year-over-year at 17,806 crore rupees or $2.2 billion.

Gross revenue was 240,963 crore rupees or $29.1 billion, up 14.8% from the previous year, supported by continuing growth momentum in consumer businesses. Digital Services segment achieved 20.4% year-over-year growth while Retail segment grew by 17.2% year-over-year. Higher realization in O2C business with increase in energy prices along with nearly 2x growth in Oil & Gas business also contributed to growth in revenue.

State Street Gains On Higher Q4 Profit

State Street Corp. (STT) shares are gaining more than 3 percent on Friday morning trade after reporting an increase in earnings and revenue for the fourth quarter. The company reported a 6 percent increase in quarterly earnings to $733 million or $1.91 per share from $697 million or $1.78 per share last year. Revenues were up 3 percent at $2.364 billion from $2.51 billion a year ago.

Currently, shares are at $83.22, up 3.35 percent from the previous close of $80.52 on a volume of 1,121,356.