Speaker 1: Bloomberg Audio Studios, Podcasts, radio News, The.
Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: the stock market, harnessing the power of Bloomberg Data.
Speaker 1: Well, let's take a look at some stocks on the
Speaker 1: move today in Europe. I'm Stephen Caroll with Lizzie Burdon,
Speaker 1: and we're joined by Bloomberg reporter Chloe Melee Chloy. Good morning,
Speaker 1: Good morning. Let's start then with a jump for adi
Speaker 1: Das after their latest results.
Speaker 3: Yes, it's a great day for Eddides today. They reported
Speaker 3: stronger than expected profit, also announced a new buyback and
Speaker 3: this really helped to reassure investors after quite a lot
Speaker 3: of weakness in those shares lately. There was a lot
Speaker 3: of concerns among investors that currency headwinds and in taris
Speaker 3: would really start to weigh on performance. So there may
Speaker 3: be the momentum behind some of the flagship products that
Speaker 3: Edidas has would start to slow down a little bit.
Speaker 3: But the strong results that we have this morning and
Speaker 3: then the buyback were really reassuring, and now an listener
Speaker 3: saying that momentum could actually go even further in twenty
Speaker 3: twenty six, given that there's actually, of course quite a
Speaker 3: lot of sports this year. You know, things like the
Speaker 3: Football World Cup will be really great for Adidas. There
Speaker 3: was really something to capitalize on for them. And the
Speaker 3: company is also now really trying to diversify some of
Speaker 3: its growth drivers. You know, for a while, it has
Speaker 3: really relied on how popular it's retro sneakers were, so
Speaker 3: we saw the sambur and the Gazelle everywhere in London,
Speaker 3: for example. But now it wants to tap a little
Speaker 3: bit more into running into football demandster kind of refocusing
Speaker 3: on sports over fashion perhaps a little bit. And investors
Speaker 3: and analysts have said that there are signs that the
Speaker 3: sneaker boom is slowing down a little bit, so it
Speaker 3: might be actually a perfect time for Adidas to kind
Speaker 3: of go back to those sports routes.
Speaker 2: Yeah, Bloomberg Opinion, Calmus Andrea Felsted was telling us that
Speaker 2: the trainers are dead.
Speaker 1: Feel like that's going to make people look a bit
Speaker 1: fuddy dotty if they're still wearing them in the office.
Speaker 1: Trainers used to make you look useful.
Speaker 3: But speaking of stocks to watch, Swatch also on your
Speaker 3: radar this morning. Yeah, it seems for Swatch that twenty
Speaker 3: six will be a very different year to twenty twenty five.
Speaker 3: So if we look at the results for twenty twenty five,
Speaker 3: the profit fell more than fifty percent and miss expectations
Speaker 3: by quite a large margin, and that was because of
Speaker 3: a lot of weakness in China and then of course
Speaker 3: tariffs from the US, which meant that the US market
Speaker 3: was also a lot weaker. But then Swatch said this
Speaker 3: morning that it actually expects really substantial growth for twenty
Speaker 3: twenty six, and it said that it had seen a
Speaker 3: rebound in demand over the second half of the year,
Speaker 3: that it had had a particularly good fourth quarter, and
Speaker 3: so that boads really well for this year. And it's
Speaker 3: obviously been an interesting few months, an interesting year for
Speaker 3: the watchmaking industry. We had, of course Trump imposing thirty
Speaker 3: nine percent tariffs on Switzerland and walking those back, and
Speaker 3: it seems that the reduction of tariffs actually meant that
Speaker 3: Swiss watch exports returned to growth in December because brands
Speaker 3: were rushing to send inventory to the US after the
Speaker 3: tariffs were eased. And so it seems that now that
Speaker 3: watchmaking industry is kind of turning a corner. We had
Speaker 3: a reach more earlier in this earning sea, which is
Speaker 3: also another big Swiss watchmaker reporting a pretty good quarter,
Speaker 3: pretty up bey outlook, so definitely good news for that sector.
Speaker 1: Okay, I'm going to do my best impression of a
Speaker 1: comedy radio show house. Now, who's not in the mood
Speaker 1: for lighter news this morning?
Speaker 2: It's like the Irish alon park.
Speaker 3: Yeah, I chose this dog just because of the pun potential.
Speaker 3: So Signify as a lamp maker and not very bright
Speaker 3: results for Signify this morning. Just issued a profit warning
Speaker 3: and decided not to provide revenue guidance at this point.
Speaker 3: It started a cost reduction program that will impact about
Speaker 3: nine hundred jobs, said that I'll be pausing share buyer
Speaker 3: backs for the foreseeable and it also said that those
Speaker 3: difficult conditions would continue throughout the year. So, according to analyst,
Speaker 3: there's a few reasons why this company is currently in
Speaker 3: the situation that it's finding itself in, and it is
Speaker 3: because there's lower demand. You know, it's exposed to the
Speaker 3: construction market, so if there are few things to being built,
Speaker 3: there's less need for lights being installed. This tariffs as
Speaker 3: well weighing on the company and this pricing pressure, and
Speaker 3: so Morgan Stanley analyst said that the results were a
Speaker 3: material negative for a stock that investors were already quite
Speaker 3: cautious on, and so we saw the Shes really tumbling
Speaker 3: this morning, and it's probably going to be quite hard
Speaker 3: for Signified to come back from them.
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