Latest news with #profitforecast
Reuters
8 hours ago
- Business
- Reuters
UK's Greencore raises forecast as chilled food demand soars in summer
July 22 (Reuters) - Chilled and frozen food manufacturer Greencore (GNC.L), opens new tab raised its annual profit forecast on Tuesday, driven by cost cuts and strong demand for its convenience products during the summer, sending the company's shares up more than 10%. Greencore, which supplies chilled salads, sandwiches, sushi, soups and frozen Yorkshire puddings to stores in the UK, expects adjusted operating profit of 118 million pounds to 121 million pounds ($159 million to $163 million) for the year ending September. That compares with its previous forecast of 114 million pounds to 117 million pounds. "As we enter our seasonally-important Q4, our focus remains on maintaining momentum in our business," CEO Dalton Philips said. The company, which counts Aldi, M&S (MKS.L), opens new tab, Tesco (TSCO.L), opens new tab, Waitrose and Sainsbury's (SBRY.L), opens new tab among its customers, reported a 9.9% sequential increase in revenue during the third quarter. Shares rose as much as 11.6% to 269 pence by 0907 GMT, and were the top percentage gainer on London's mid-cap FTSE 250 (.FTMC), opens new tab index. Greencore's update contrasts that of baker Greggs (GRG.L), opens new tab, which earlier this month warned of a profit dip as unusually high temperatures in the UK discouraged customers from eating out. Premier Foods (PFD.L), opens new tab also flagged the warmer weather was hitting demand for gravy, stock and soup. Greencore launched 168 new products during the summer, it said, even as it cautioned of uncertainties in the broader macroeconomic environment. British food prices accelerated by the most since March 2024 in June, a survey earlier this month showed. "The business is continuing to deliver upgrades despite cost headwinds, and we are taking an increasingly favourable view of the Bakkavor combination," Jefferies analysts said in a note. Greencore said on Tuesday it continues to expect to close its $1.6 billion takeover of Bakkavor Group (BAKK.L), opens new tab in early 2026, sending the fresh food provider's shares up as much as 8.1%. ($1 = 0.7423 pounds)
Reuters
11 hours ago
- Business
- Reuters
UK's Compass strikes its biggest-ever deal with $1.8 bln Vermaat acquisition
July 22 (Reuters) - Food catering firm Compass (CPG.L), opens new tab has agreed to buy European premium food services business Vermaat Groep for about 1.5 billion euros ($1.75 billion) including debt, it said on Tuesday, marking its largest-ever deal. Compass, the world's largest catering group, also raised its annual profit forecast after reporting revenue growth of 8.6% for the third quarter ended June 30, on strong demand across its markets, including its largest market of North America. Compass shares soared 8.8% in early trade. The company's quarterly update contrasted with rival Sodexo ( opens new tab, which warned earlier this month that U.S. President Donald Trump's policies could affect its universities and healthcare business and forecast annual revenue and margin growth at the lower end of its forecast. Compass, which caters to staff and students at Microsoft (MSFT.O), opens new tab, Shell (SHEL.L), opens new tab, and Harvard Business School, said its North America business saw strong revenue growth across all its sectors. A spokesperson said revenue and volume growth in the U.S. education sector was "holding up well". "We view Compass' trading update as supportive, providing reassurance over the industry in general and confirming our take that Sodexo's underwhelming momentum has a limited read on the space," JPMorgan analysts said in a note. Annual underlying operating profit growth is expected to be closer to 11% now, compared with an earlier forecast of high single-digit growth. Compass said that Vermaat was on track to generate sales of about 700 million euros with a double-digit operating profit margin in 2025. Vermaat operates in premium locations like museums and art galleries in the Netherlands, France and Germany. Compass has made several acquisitions in Europe this year -and recent acquisitions were progressing ahead of expectations, supporting its growth forecast, the company said. Many companies operating in the U.S. are contending with higher inflation as Trump's tariff policies have forced some businesses to pass costs on to consumers. Compass said its pricing across markets was in line with expectations. ($1 = 0.8558 euros)
Yahoo
a day ago
- Business
- Yahoo
Elevance Health, Inc. (ELV): I Won't Touch It With A 10 Foot Pole, Says Jim Cramer
We recently published . Elevance Health, Inc. (NYSE:ELV) is one of the stocks Jim Cramer recently discussed. Elevance Health, Inc. (NYSE:ELV) is one of the biggest healthcare benefits companies in America. Its shares have dipped by 24% year-to-date, primarily on the back of a 19% dip in July. Elevance Health, Inc. (NYSE:ELV)'s shares fell after the firm cut its profit forecast to $30 per share from an earlier $34.15 to $34.85 per share. Here's what Cramer said about the firm: 'They missed. I think we're finally at the point where people have said, these guys are all going to keep going down so don't worry about it. Don't sell. That stock is down much less than I thought it would be. I'm not, I mean that. Like these ones, have been, when they go down, they don't just go down nine. But this thing has been down for a while. I wouldn't touch these stocks with a ten-foot pole. They're just, this is happening before they even eviscerated Medicaid. I don't think people realize that the thing in that beautiful bill was a huge gift to accelerated depreciation, a huge gift for R&D. And just a house of pain for anything Medicaid.' A medical professional working at a computer, utilizing the company's digital solutions to improve care quality for consumers. GreensKeeper Asset Management mentioned Elevance Health, Inc. (NYSE:ELV) in its Q1 2025 investor letter. Here is what the firm said: 'Rounding out our top 5 performers in Q1 were Elevance Health, Inc. (NYSE:ELV) +17.9% and Intercontinental Exchange (ICE) + 15.8%. As mentioned in the last Scorecard, we believe the sell-off in ELV over the past year has been overdone, and the stock is trading at a significant discount to our estimate of its intrinsic value. The recent rebound reflects a partial correction of that mispricing. ICE continues to perform well as a significant portion of its earnings is driven by transaction volume on its exchanges and increasing demand for financial data, both of which generally increase when panic-induced volatility hits the markets.' While we acknowledge the potential of ELV as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Reuters
a day ago
- Business
- Reuters
Jungheinrich signs deal to sell Russian unit, adjusts forecast for 2025
July 21 (Reuters) - German forklift truck maker Jungheinrich (JUNG_p.DE), opens new tab said on Monday it had agreed to sell its Russian unit to a Russian financial investor and asset manager, and was cutting its full-year profit forecast as a result. Due to the sale of Russia-based Jungheinrich Lift Truck OOO, Jungheinrich said it now expects earnings before interest and income taxes (EBIT) to be between 160 million euros and 230 million euros ($186 million-$268 million) for the year, down from a previously forecast 280 million to 350 million euros. It also expected earnings before taxes (EBT) of 130 million to 200 million euros, against a previous forecast of 250 million to 320 million, with a return on capital employed (ROCE) of between 5% and 9%, from previously 10%-14%. The company said that the sale price agreed for its Russian subsidiary, with an investor it did not name, was significantly below the book value of the participation as of December 31, 2024. This was due to a requirement by the Russian Government Commission on the Control of Foreign Investments for the sale price to be a maximum of 40% of the market value of the affected Russian company as determined by a Russian valuation expert, it said. Jungheinrich kept its full-year guidance for incoming orders and revenue unchanged. ($1 = 0.8587 euros)
Skift
5 days ago
- Business
- Skift
‘Uncertainty Has Declined': United Sees Demand Rebound
After seeing softening demand for the first half of the year, United executives now believe that the economy is stabilizing, leading to higher demand. After lowering its 2025 profit forecast, United Airlines executives were optimistic that the rest of the year would fare much better. United revised its profit forecast to fall between $9 to $11 earnings per share. During the first quarter, United released a dual forecast to account for some of the economic uncertainty that had hit the industry: $7 to $9 earnings per share in a recessionary environment, and $11.50 to $13.50 earnings per share in a stable environment. However, United chief commercial officer Andrew Nocella said he believed that the carrier's current forecast was 'maybe even conservative.' 'I just think from where we are standing today, we're really pleased by that change in direction bookend combined with le
