LG’s Q2 profit misses mark
LG Display Co, the world’s second-largest maker of flat panels, posted second-quarter profit that missed analysts’ estimates due to slower consumer demand for screens used in personal computers and televisions. The company’s net income — excluding minority interest — was 105.7 billion won (US$94 million) in the three months ended last month, compared with a 111.2 billion won loss a year earlier, the Seoul-based company said in a statement yesterday. The result compares with the average 205.9 billion won profit estimated by 13 analysts surveyed by Bloomberg.
Carrefour offsets weak EU
Global retailer Carrefour SA has said rising sales in Latin America and Asia helped offset shrinking revenue in Europe in the second quarter. The French-based company reported quarterly sales of 20.46 billion euros (US$ 26.8 billion), down 0.6 percent from 21.7 billion euros in the same period a year ago. Carrefour said in a statement it made 41 billion euros in sales in the first half of the year, compared with 43.7 billion last year. Carrefour blamed the weak performance on bad weather and Europe’s “economic environment.”
IBM income slips on layoffs
IBM Corp on Wednesday said its second-quarter net income fell 17 percent as revenue fell and it absorbed layoff costs. Net income came to US$3.23 billion, or US$2.91 per share, down from US$3.88 billion, or US$3.34 per share, a year earlier. Excluding a US$1 billion charge related to layoffs, IBM’s adjusted earnings came to US$3.91 per share. Revenue dropped 3 percent annually to US$24.92 billion, below the US$25.35 billion forecast by analysts.
EBay posts Q3 guidance
EBay Inc issued a revenue forecast for the current quarter that missed analysts’ estimates as economic weakness in Europe and Asia restricts growth for the online marketplace and payments provider. Third-quarter sales will be between US$3.85 billion and US$3.95 billion, the company said in a statement on Wednesday. Analysts were projecting revenue of US$3.97 billion, according to the average of estimates compiled by Bloomberg. Second-quarter revenue came in at US$3.88 billion, just shy of analysts’ US$3.89 billion forecast.
Ericsson sees strong quarter
Wireless equipment maker Ericsson AB said second-quarter earnings grew 26 percent to 1.5 billion kronor (US$227 million) compared with the same period a year ago thanks to higher gross margins and lower operating costs. The Stockholm-based company said sales for the quarter were flat at 55.3 billion kronor due to currency fluctuations. CEO Hans Vestberg yesterday said that the company benefited from capacity projects in Europe and North America, while Asian markets posed a challenge as activity declined.
SAP beats slowdown in Q2
Business software maker SAP AG said net profit grew 10 percent in the second quarter to 724 million euros (US$948 million) despite Asia’s economic slowdown. SAP’s net profit of 0.61 euros a share fell just short of the 0.62 euros per share average estimate compiled by FactSet. SAP yesterday said cost discipline helped it overcome a 7 percent slide in sales in its Asia-Pacific-Japan business. It said slowing growth in China was deterring businesses in the region from investing in new software and computing services.