Key Takeaways
- Thyssenkrupp (TKA) experienced a share slide after significantly cutting its full-year sales and investment outlook due to weak demand and global trade disruptions.
- RWE (RWE) reported a substantial 43% year-on-year drop in H1 adjusted net income to €775 million and a 26% decline in adjusted EBITDA to €2.14 billion, though it maintained its full-year 2025 guidance.
- Hon Hai (2317.TW) posted strong Q2 net income of NT$44.36 billion, beating estimates, with a robust Q3 outlook driven by an anticipated 170%+ surge in AI server sales.
- Major insurers Aviva (AV.L) and Admiral (ADM.L) surpassed H1 profit forecasts, demonstrating better-than-expected performance in the insurance sector.
- France's July inflation data remained stable, with Consumer Price Index (CPI) at 1.0% and Harmonised Index of Consumer Prices (HICP) at 0.9% year-on-year, while India's wholesale prices showed a deflationary trend at -0.58%.
Corporate Performance Highlights
German industrial conglomerate Thyssenkrupp (TKA) saw its shares slide after it cut its full-year outlook for investments and sales. The company attributed this revised forecast to weak demand across key customer industries, including automotive, engineering, and construction, alongside disruptions from U.S. President Donald Trump's import tariffs. The steel division is also planning to shed 11,000 jobs and reduce capacity over the next five years.
In the energy sector, RWE (RWE) reported a challenging first half of 2025, with adjusted net income falling 43% year-on-year to €775 million and adjusted EBITDA decreasing 26% to €2.14 billion. Despite these declines, the company reiterated its full-year 2025 guidance, projecting adjusted EBITDA between €4.55 billion and €5.15 billion and net income between €1.30 billion and €1.80 billion.
Taiwanese electronics giant Hon Hai Precision Industry Co. (2317.TW), also known as Foxconn, delivered robust financial results for the second quarter, with net income reaching NT$44.36 billion, significantly exceeding the estimated NT$36.14 billion. For the first half, EPS hit NT$6.23 on NT$3.44 trillion in revenue. The company's strong Q3 outlook is notably bolstered by an expected surge of over 170% year-on-year in AI server sales, although smart device sales are anticipated to dip.
The insurance sector showed strength, with Aviva (AV.L) reporting H1 adjusted operating profit of £1.07 billion, surpassing the £959.6 million estimate, and IFRS net profit reaching £819 million. Management expressed confidence in achieving its group targets for 2025. Similarly, Admiral (ADM.L) beat estimates with H1 EPS of 132.5p (versus 122.2p estimated) and a pretax profit of £521 million, driven by better-than-expected profitability across its key segments.
Danish brewer Carlsberg (CARL-B) posted H1 sales of DKK45.86 billion and net income of DKK3.56 billion, slightly below analyst estimates. The company forecasts full-year organic operating profit growth of 3%-5% but maintains a cautious outlook, anticipating no improvement in the consumer environment throughout 2025.
Macroeconomic Data Overview
July's inflation data for France indicated stability. The year-on-year inflation rate stood at 0.90%, consistent with the previous month's figure. The Consumer Price Index (CPI) year-on-year was 1.0%, matching both previous figures and estimates. Month-on-month CPI also remained stable at 0.2%, aligning with estimates. The Harmonised Index of Consumer Prices (HICP) showed a year-on-year rate of 0.9%, unchanged from the prior period and meeting expectations. The month-on-month HICP registered 0.3%, also in line with estimates.
In India, wholesale prices in July showed a deflationary trend. The year-on-year Wholesale Price Index (WPI) was -0.58%, a further decline from the previous -0.13% and below the estimated -0.48%. This indicates a continued easing of price pressures at the wholesale level.
Market participants continue to monitor these corporate results and economic indicators for insights into global economic health and future policy directions. LiveSquawk provided timely updates on these developments.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.