Carrefour shares are continuing their recovery after a dismal 2011 when five profit warnings wiped 40% off the value of the French supermarket giant. On Thursday, it reported a net profit of €1.2bn - well above the €371m profit it posted a year ago. The news sent Carrefour’s recovering shares leaping 4% in early trading to €22.30.
Carrefour has retreated from a number of its foreign outposts including Malaysia, Colombia and Greece over the past year, raising €2.6bn in the process. The sell-off - started last summer by new CEO Georges Plassat - has been well received by investors. After collapsing to a low of €12.87 in July, shares have almost doubled in value.
It was not such a great week for Nivea brand owner Beiersdorf, which reported underlying operating profit growth of 4%. The result was well below the consensus analyst forecasts of 14%.
“The report was disappointing, with large misses on consumer margins and earnings, a strange lack of increase in dividends and quite lacklustre guidance for 2013,” said Bernstein analyst Andrew Wood.
Shares in the skincare company dipped 3% early on Tuesday but improved later in the day to €67.50 as stock markets around the world rallied and the Dow hit an all-time high. Beiersdorf shares have climbed 20% over the past year.
On Thursday, Vimto brand owner Nichols reported a 13% increase in full-year pre-tax profits to £108m and announced that CEO Brendan Hynes would be stepping down, to be replaced by Vimto MD Marnie Millard. Its shares edged up 1% to £8.92 in early trading. “He leaves the business in capable hands and in a strong position,” said Canaccord analyst Wayne Brown.
Shares in Nichols have surged more than 40% over the past year. The performance in the UK was particularly impressive. Against the backdrop of a wet summer and flat market growth, sales rose 9%, with Levi Roots drinks growing 15%.
Tropical fruit giant Fyffes broke through the €1bn sales mark this week for the first time since its demerger from Total Produce in 2006. banana sales were particularly strong as pre-tax profits climbed 36% to €30.3m. Shares climbed over 2% to €0.62. Shares in Total Produce also climbed strongly, by 8% to 53p, after it reported a 7.9% increase in pre-tax profits to €34.4m.
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