WEBVTT - IWG Falls, Rheinmetall Down, Glencore Rises

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News, The.

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<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

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<v Speaker 2>the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 1>Let's take a look at some stocks on the move

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<v Speaker 1>today in Europe. I'm Stephen Carroll and we're joined by

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<v Speaker 1>Bloomberg's earnings specialist, Chloe Mela. Chloe, good morning to you.

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<v Speaker 1>Starting with IWG Flexible Workplaces. What's going on with them?

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<v Speaker 3>Yes, So IWG shares fell by quite a bit this morning. So,

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<v Speaker 3>as you said, it provides coworking spaces, and the revenue fell,

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<v Speaker 3>and it also narrowed its guidance for the four year

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<v Speaker 3>towards the lower end of the range, and it said

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<v Speaker 3>that was because of further investment in the business rather

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<v Speaker 3>than than weakness in demand. Really, but the market did

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<v Speaker 3>respond to the lower guidance quite negatively. But there were

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<v Speaker 3>some positive things in that statement that there may be

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<v Speaker 3>kind of worth mentioning. IWG did increase it's by back

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<v Speaker 3>and it also said that the shift towards hybrid working

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<v Speaker 3>is propelling it to the fastest growth that it has

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<v Speaker 3>ever seen in its history. In marchin that had already

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<v Speaker 3>posted record revenue in earnings four twenty twenty four because

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<v Speaker 3>companies were really embracing flexible office policies and it seems

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<v Speaker 3>like it is doing really really well in that area

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<v Speaker 3>and really benefiting from it. But the short term investment

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<v Speaker 3>into the business and the impact on the ebit is

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<v Speaker 3>a little bit disappointing to the market. Maybe.

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<v Speaker 1>Yeah, indeed, those shares fifteen percent lower this morning. International

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<v Speaker 1>Workplace Group is that I couldn't remember which word was

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<v Speaker 1>the last one? Which group? Yeah, group, thank you as

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<v Speaker 1>I was trying to figure out what IWG was as

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<v Speaker 1>I was reading it. That lead. Let's turn to Defense next.

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<v Speaker 1>Ryan Mattal's shares a bit lower this morning. What's going on.

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<v Speaker 3>Yeah, we've seen some weakness in Defense shares kind of

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<v Speaker 3>across the board, so Ryan Mattal obviously being the biggest one,

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<v Speaker 3>but we've always seen, always also seen some weakness in

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<v Speaker 3>BA systems, in Leonardo and Hensold. The Defense stocks have

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<v Speaker 3>been really responding to the ongoing talks over Piece in

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<v Speaker 3>Ukraine over the last few days, so kind of going

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<v Speaker 3>up or down depending on how likely the market is

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<v Speaker 3>is envisioning a Piece deal. Really, what they seem to

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<v Speaker 3>be responding to today is Trump urging a meeting between

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<v Speaker 3>Putin and Zelenski, which would then be followed by a

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<v Speaker 3>meeting between all three leaders. So Trump Putin and Zelenski,

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<v Speaker 3>and so that's kind of weighing on the sheares. They're

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<v Speaker 3>another thing weighing that potentially is also that Ukraine proposed

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<v Speaker 3>buying one hundred and billion dollars in American weapons. So

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<v Speaker 3>as Trump is kind of continuing to push to kind

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<v Speaker 3>of broker and enter this conflict, we might see continued

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<v Speaker 3>movements up or down in that defense sector. But right

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<v Speaker 3>now it's definitely not a done deal at all. Trump

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<v Speaker 3>did acknowledge that the time and location for a meeting

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<v Speaker 3>have not been set yet and it's really unclear if

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<v Speaker 3>Putin would be open to it anyway.

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<v Speaker 1>Yeah, Indeed, s rhy Matah shares down just over four

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<v Speaker 1>percent this morning in Germany and to glen Core next

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<v Speaker 1>in the mining space shares up.

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<v Speaker 3>Yeah, so glen Core and then other mining them. So

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<v Speaker 3>if we look at Anglo American or Aslo Metal, for example,

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<v Speaker 3>we're in that kind of steel making sector, they're also

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<v Speaker 3>up this morning, and that's because there's been a positive

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<v Speaker 3>read across from the results from PHP in Australia, so BHP,

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<v Speaker 3>which is the world's largest minor. It actually reported a

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<v Speaker 3>significant fall in profits to the lowest level since the pandemic,

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<v Speaker 3>and that's because the price of iron ore has been

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<v Speaker 3>under a lot of pressure because of weak demand in China,

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<v Speaker 3>especially from the struggling property sector there, and then also

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<v Speaker 3>a lot of global supply. So that led PHP to

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<v Speaker 3>sell iron ore ad prices nineteen percent lower than a

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<v Speaker 3>year ago, So that could have been seen as a negative,

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<v Speaker 3>but BHP did provide quite quite a positive outlook. It

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<v Speaker 3>said that future commodity demand could recover thanks to policy

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<v Speaker 3>support in China and then also strong export at least

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<v Speaker 3>resilient exports from China despite slower economic growth. And also

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<v Speaker 3>it said that growth in India, where we know we've

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<v Speaker 3>seen a lot of growth, infrastructure spending, manufacturing expansion, a

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<v Speaker 3>lot of that should drive rises in demand for metals,

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<v Speaker 3>so that should be quite positive and so we've seen

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<v Speaker 3>that positive read across for the rest of the European miners.

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<v Speaker 2>The Stock Movers Report from Bloomberg Radio. Check back with

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