1 00:00:02,520 --> 00:00:07,360 Speaker 1: Bloomberg Audio Studios, podcasts, radio News. 2 00:00:08,560 --> 00:00:12,440 Speaker 2: The Stock Movers Report, your roundup of companies making moves 3 00:00:12,480 --> 00:00:15,880 Speaker 2: in the stock market harnessing the power of Bloomberg Data. 4 00:00:16,800 --> 00:00:18,159 Speaker 3: Let's take a look at some of the stocks on 5 00:00:18,160 --> 00:00:20,400 Speaker 3: the mood today here in Europe. I'm Caroline Hepca with 6 00:00:20,440 --> 00:00:23,840 Speaker 3: Tom McKenzie with John Bupplinberg's Colomba Lay. Good morning, more 7 00:00:23,880 --> 00:00:26,119 Speaker 3: loads of earnings to think about in Europe. Let's start 8 00:00:26,120 --> 00:00:28,240 Speaker 3: with that West the lender raising its guidance. 9 00:00:28,320 --> 00:00:30,800 Speaker 1: Yeah, very good morning for Network with a positive update 10 00:00:30,880 --> 00:00:33,160 Speaker 1: kind of across the board. So, as you mentioned, raised 11 00:00:33,159 --> 00:00:36,800 Speaker 1: its income and returns guidance, also delivered its highest earnings 12 00:00:36,840 --> 00:00:39,319 Speaker 1: in at least a decade. And then also the net 13 00:00:39,360 --> 00:00:42,800 Speaker 1: interest margin, which is really a key measure of profitability, 14 00:00:42,920 --> 00:00:46,760 Speaker 1: was also higher. It also set aside lesson expected to 15 00:00:46,760 --> 00:00:49,479 Speaker 1: cover bad loans, which kind of suggests that the quality 16 00:00:49,520 --> 00:00:52,440 Speaker 1: of its loan portfolio is in good shape. This is 17 00:00:52,560 --> 00:00:54,960 Speaker 1: the third UK bank to report this week. We had 18 00:00:55,000 --> 00:00:58,360 Speaker 1: Barclay's and Lloyd's as well earlier, and arguably Networks is 19 00:00:58,400 --> 00:01:01,560 Speaker 1: the one that delivered the most impressive results and therefore 20 00:01:01,560 --> 00:01:03,920 Speaker 1: has seen the biggest kind of reward by the market, 21 00:01:03,960 --> 00:01:07,600 Speaker 1: with shares really rising this morning, but overall the UK 22 00:01:07,720 --> 00:01:11,119 Speaker 1: banking sector seems to be doing pretty well. Both Lloyds 23 00:01:11,120 --> 00:01:13,920 Speaker 1: and Barclays also upgraded at least part of their guidance. 24 00:01:14,360 --> 00:01:17,040 Speaker 1: Barclay's obviously a new buyback, and they've all kind of 25 00:01:17,080 --> 00:01:20,600 Speaker 1: signaled that UK customers are resilient and coping quite well 26 00:01:20,640 --> 00:01:24,280 Speaker 1: with inflation and with a weaker jobs market. We do 27 00:01:24,400 --> 00:01:26,520 Speaker 1: have the budget come in next month. Of course, all 28 00:01:26,560 --> 00:01:29,120 Speaker 1: of that might change, but for now UK banks are 29 00:01:29,120 --> 00:01:31,320 Speaker 1: holding up well, and that Works in particular is holding 30 00:01:31,360 --> 00:01:31,959 Speaker 1: up very well. 31 00:01:32,760 --> 00:01:36,680 Speaker 3: Okay, So from the banking space to the pharmaceutical space. 32 00:01:36,680 --> 00:01:40,240 Speaker 3: Sonafi are also in focus and profit rising more more 33 00:01:40,280 --> 00:01:41,360 Speaker 3: than expected last quarter. 34 00:01:41,680 --> 00:01:44,680 Speaker 1: Yeah, profit beat because of really strong demand for its 35 00:01:44,680 --> 00:01:48,160 Speaker 1: blogbuster asthma drug called jupix and so the sales of 36 00:01:48,200 --> 00:01:52,200 Speaker 1: Jupixen reached a record in the quarter and it's expected 37 00:01:52,240 --> 00:01:55,280 Speaker 1: to generate more than twenty one billion euros in annual 38 00:01:55,280 --> 00:01:58,200 Speaker 1: revenue at its peak, which makes it so Nophi's most 39 00:01:58,240 --> 00:02:02,400 Speaker 1: important biggest medice by quite a long shot. That profit 40 00:02:02,480 --> 00:02:05,160 Speaker 1: be and the fact that gupis and cells were really 41 00:02:05,200 --> 00:02:09,079 Speaker 1: solid overshadowed was well. Another part of the earnings, which 42 00:02:09,120 --> 00:02:11,079 Speaker 1: was a bit of more bit more of a weak spot, 43 00:02:11,400 --> 00:02:14,240 Speaker 1: which is the vaccine segment. So so Nofi said that 44 00:02:14,280 --> 00:02:17,800 Speaker 1: cells of flu shots fell quite significantly. It blamed that 45 00:02:17,840 --> 00:02:20,880 Speaker 1: on price competition in Europe and then also lower vaccination 46 00:02:21,000 --> 00:02:23,920 Speaker 1: rates in the US. The CFO also said there was 47 00:02:24,120 --> 00:02:26,560 Speaker 1: maybe a little bit of post covid fatigue and quite 48 00:02:26,680 --> 00:02:30,280 Speaker 1: negative as sentiment around vaccines, which obviously could be quite 49 00:02:30,320 --> 00:02:34,440 Speaker 1: a challenge going forward for so Nofie and other pharmaceutical peers. 50 00:02:35,000 --> 00:02:37,640 Speaker 1: On the tariff side of things, and IPHI said it 51 00:02:37,680 --> 00:02:41,480 Speaker 1: is in constant discussions with the US, though it actually 52 00:02:41,520 --> 00:02:43,919 Speaker 1: did not make a deal like we've seen with Faiso 53 00:02:44,000 --> 00:02:47,840 Speaker 1: or Aslanka or merk where we've seen those companies trying 54 00:02:47,880 --> 00:02:50,280 Speaker 1: to well cutting a deal with the US to lower 55 00:02:50,360 --> 00:02:52,840 Speaker 1: drug costs in exchange for that tariff relief. So so 56 00:02:52,880 --> 00:02:55,480 Speaker 1: Nofia has not done that yet, but it is in 57 00:02:55,600 --> 00:02:58,320 Speaker 1: discussion with the US about those tariffs. 58 00:02:58,840 --> 00:03:03,399 Speaker 3: Okay, So that's on the farmer's story. Very US dependent too, 59 00:03:03,520 --> 00:03:08,280 Speaker 3: isn't it. Let's also think about defense and the momentum 60 00:03:08,320 --> 00:03:12,080 Speaker 3: that SAAB has. The CEO also making some comments speaking 61 00:03:12,120 --> 00:03:12,760 Speaker 3: to Bloomberg. 62 00:03:12,880 --> 00:03:16,359 Speaker 1: Yeah, absolutely, so the Swedish defense company It boosted its 63 00:03:16,639 --> 00:03:19,640 Speaker 1: revenue guidance this morning. It said that it's obviously benefiting 64 00:03:19,840 --> 00:03:23,240 Speaker 1: from the uncertain geopolitical landscape that we are dealing with 65 00:03:23,320 --> 00:03:25,840 Speaker 1: at the moment and all the tensions across the world. 66 00:03:26,240 --> 00:03:28,679 Speaker 1: It said that it's got a record high order backlog, 67 00:03:28,960 --> 00:03:31,040 Speaker 1: a really strong demand and as you said, the CEO 68 00:03:31,200 --> 00:03:34,080 Speaker 1: was on Bloomberg TV and saying that he expects that 69 00:03:34,120 --> 00:03:37,880 Speaker 1: momentum to be sustained going forward. We also had another 70 00:03:37,960 --> 00:03:41,800 Speaker 1: positive update that this morning from another defense company, Hensalt 71 00:03:41,840 --> 00:03:45,000 Speaker 1: in Germany, which provided margin guidance. There was also a 72 00:03:45,000 --> 00:03:47,720 Speaker 1: head of estimates and the stock rose quite a bit 73 00:03:47,760 --> 00:03:50,280 Speaker 1: on the back of that as well. It seems that 74 00:03:50,320 --> 00:03:53,200 Speaker 1: the boost from increased military spending is really starting to 75 00:03:53,560 --> 00:03:57,160 Speaker 1: feed through for those defense companies, with orders starting to 76 00:03:57,200 --> 00:04:00,520 Speaker 1: translate into profit. And given that attempt to broke a 77 00:04:00,560 --> 00:04:02,880 Speaker 1: piece in Ukraine seem to be facing quite a lot 78 00:04:02,920 --> 00:04:05,600 Speaker 1: of obstacles that will be probably continuing as well. 79 00:04:07,120 --> 00:04:11,360 Speaker 2: The Stockmover's report from Bloomberg Radio. 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