Infineon Launches Billion-Euro Project for Semiconductors in Dresden
Infineon’s stock is in focus this morning as the chipmaker begins expanding its plant in Dresden. The groundbreaking ceremony will be attended by EU Commission President Ursula von der Leyen and German Chancellor Olaf Scholz. The “Smart Power Fab” is expected to be completed by 2026 and will see Infineon investing €5 billion to increase its semiconductor production and create about 1,000 new jobs. The investment is expected to make Europe less dependent on semiconductors from the US and especially Asia.
Nio Challenges Volkswagen for Market Share in Europe
Chinese auto provider Nio aims to challenge Volkswagen for market share in Europe with two new electronic car brands, according to CEO William Li. Meanwhile, VW supervisory board member Wolfgang Porsche has declared his retirement and plans to be re-elected for another five-year term at the upcoming shareholder meeting.
Adidas Takes Aim at US Sports Market
Sports equipment manufacturer Adidas has set its sights on claiming a larger share of the US sports market. The company’s North American CEO Rupert Campbell stated that Adidas aims to concentrate on things “that relate to the US, especially sports”.
KMW and Rheinmetall end Dispute over “Leopard 2” Tanks
Defense companies Krauss Maffei Wegmann and Rheinmetall have resolved a legal dispute over the copyrights of the “Leopard 2” tank. The Munich District Court confirmed that the parties had reached a settlement, without disclosing its content.
Traton Increases Margin Forecast
VW subsidiary Traton has raised its full-year profit forecast following strong Q1 results. The group now expects an operating profit margin before special items of 7-8%, up from 6-7%.
Stabilus Benefits from Tax Refunds
Auto supplier Stabilus has profited from growing car production in Europe and improved industry business in North America. The company’s overall revenue rose by 10.5% to €310.6 million, while profits increased almost two-thirds to €42.6 million YoY, mainly due to tax refunds. Koblenzer confirmed its full-year outlook.
Patrizia Hires DWS Former CEO
Real estate investment company Patrizia has recruited former DWS CEO Asoka Wöhrmann, who will replace the firm’s founder Wolfgang Egger as CEO. He is expected to take over after a brief settling-in period.
BioNTech/Pfizer Prepared for Price Cuts
Pfizer and BioNTech are reportedly willing to offer price reductions for vaccine contracts with the EU. They are willing to offer approximately €10 for each of the 70 million doses that have been cancelled.
IBM Replaces Humans with AI
IBM has announced it intends to employ fewer people in certain roles, as their tasks can be carried out by artificial intelligence-based software. IBM CEO Arvind Krischna predicts that AI and automation could replace around a third of personnel management positions in five years.
BP Exceeds Earnings Expectations
BP’s Q1 results exceeded expectations, with a special one-time gain from selling a petrochemicals unit and strong trading results. The company’s adjusted Q1 profit was €5 billion, a 20% YoY decrease.
Morgan Stanley Plans Additional Layoffs
Morgan Stanley reportedly plans to cut around 3,000 jobs in Q2 due to sluggish business activities and the challenging economic climate. It is the second time within six months that the bank has to lay off employees.
Logitech Suffers from Recession Fears
Computer accessory manufacturer Logitech has reported a continued decline in revenue, owing to growing customer concerns regarding an economic downturn. The company’s Q4 revenue fell to $960 million YoY compared to $1.23 billion in the prior year.
Geberit Profits Fall Due to Volume Decrease
Sanitary technology company Geberit reported a 2.3% decrease in earnings due to falling sales volume and unfavourable currency exchange rates. Despite a 12% price increase, the Swiss company’s revenue fell by 8.9%.
Qantas Installs First Female CEO
Qantas has announced that Vanessa Hudson, the company’s current CFO, will take over as CEO in November, becoming the airline’s first female CEO in its history.
Chip Developer Arm Begins Preparations for IPO
Softbank-owned chip designer Arm, whose technology is used in virtually all smartphones, has taken its first step towards an IPO. The company has confidentially submitted a draft filing to the US SEC, and the value and price of the placement of Arm shares will be determined