After a while of trading, the general index of the Helsinki Stock Exchange was down 0.9 percent at 9776.00 points.
The most traded stock of the morning was Nokia, whose share fell by 8.3 percent to 3.28 euros at the time of the review after the results announcement. Among the twelve most traded stocks, most were in a downward direction.
The biggest gainer of the morning was the electronics contract manufacturer unablewhose share strengthened by 11.5 percent to 12.25 euros.
Incap said in the morning that it will raise the guidelines for 2024. The background is the brightening of the prospects for the end of the year and the good development of the beginning of the year.
Incap estimates that the company’s turnover in 2024 will increase and the operating profit will remain at the same level as in 2023. Previously, the company indicated that the turnover and operating profit would decrease from 2023.
In addition to Nokia, there was a software company at the top of the list Innofactorwhose share fell by 9.9 percent to 1.15 euros.
Energy company Fortum announced that it is selling its recycling and waste business investment company Summa Equitylle with around 800 million euros. On the current balance sheet, Fortum is recording a tax-free capital gain of around 110 million euros from the deal, but the final amount of the profit will be determined on the day the deal is completed.
CEO of Fortum Markus Rauramon according to the sale gives Fortum the opportunity to focus on the company’s core business, i.e. electricity production.
The recycling and waste operations for sale include waste management services and processing and recycling services for plastics, metals, ash, slag and hazardous waste. The business operations are located in Finland, Sweden, Denmark and Norway. In total, the business operations have approximately 900 employees.
At the time of the review, Fortum’s share was up 0.1 percent at 13.94 euros.
Earnings season in full swing
Thursday is a busy day in terms of results, when a total of 15 companies published their interim reports for the second quarter. The morning price reactions of the results announcers have been collected in the table below.
They announced their earnings report before the start of trading Middle Soul, Aspocomp, Atria, Fiskars, F-SecureInnofactor, Nokia, Oriola, SRV Companies, SSH Communications Security, Telia, Trainers’ House, Verkkokauppa.com mixed Wulff Companies.
Network company Nokia’s operating profit exceeded analysts’ forecasts. Nokia’s comparable operating profit fell to 423 million euros, while the consensus expectation was 373 million euros. In last year’s strong second quarter, the comparable operating profit was 626 million euros.
Nokia’s net sales fell to 4.46 billion euros in the second quarter of the year from 5.71 billion euros in the comparison period. The decrease compared to the second quarter of last year was thus 18 percent without the effect of exchange rate changes. The consensus or average expectation of 30 analysts collected by the information service Factset was 4.77 billion euros for the second quarter.
No less than 18.4 million euros were collected for Ruokatalo Atria in the second quarter, compared to 10.0 million euros in the comparison period. Analysts predicted an operating profit of 10.7 million euros, i.e. the result was clearly higher than expected.
“Atria Suomen’s result in the second quarter was good. The reasons for the profit development can be found in the efficiency of industrial operations, the well-started grilling season, better sales structure and savings and efficiency programs”, the company’s CEO Kai Gyllström comment in the results report.
Atria’s net sales fell to 454.3 million euros from 457.2 million euros in the comparison period. The consensus forecast of three analysts recorded on Atria’s investor website expected a turnover of 450 million euros.
Construction company SRV’s result was decent despite the sticky market. The company’s turnover increased to 186.3 million euros in the second quarter from 143.1 million euros a year ago. The company’s operating profit turned positive, being 1.5 million euros, while a year ago it was 3.9 million euros in loss.
Inderes, which follows the company, expected turnover to rise to 163 million euros and operating profit to 1.1 million euros.
Recommendation and target price changes
OP lift Pihlajalinna target price to EUR 10.50 (previously EUR 9.60), reiterates the add recommendation.
OP notes Terveystalo target price to EUR 10.50 (previously EUR 9.40), reiterates the add recommendation.
ON laskee Kemira target price to EUR 22.50 (previously EUR 23.00), the recommendation rises to the add level (previously reduce).
Inderes raises Terveystalo’s target price to 10.20 euros (previously 9.20 euros), repeats the recommendation for more.
Inderes raises Kemira’s recommendation to add (currently reduce), repeats the target price of EUR 23.00.
Inderes raises Bittium target price to EUR 8.00 (previously EUR 7.20), the recommendation drops to the reduce level (previously increased).
Inderes raises Purmon to the plus level of the recommendation (time to decrease), repeats the target price of 13.50 euros.
Inderes raises Lemonsoft’s the target price to EUR 6.40 (previously EUR 6.00), repeats the reduce recommendation,
Source: www.arvopaperi.fi
