Industry reports
Editor highlights

Business News - part 9

Retailer Home Depot Raises Outlook As Homeowners Spend More On Renovations

Retailer Home Depot Raises Outlook As Homeowners Spend More On Renovations

BUSINESS

  • Home Depot reports higher-than-expected third-quarter earnings
  • US homeowners spending more on home renovations
  • Home Depot’s recent results sign of recovery in housing market

US home-improvement retailer Home Depot has raised its revenue growth expectations for the third time in 2013 up from 4.5% to 5.6% as mounting home prices push homeowners to increase spending on renovations.

For the quarter ending at the start of November, Home Depot’s net income rose by 43% from the $947 million of the previous year to $1.35 billion.

Read more »

Online Music Service Spotify Raises $250 Million In Funding

Online Music Service Spotify Raises $250 Million In Funding

BUSINESS

  • Spotify to use funding to boost its US service and expand into international markets particularly Japan
  • Spotify now valued at $4 billion; few startups have raised more than $400 million
  • Spotify’s revenue doubled in 2012 to $571 million

Online music-streaming service Spotify has raised $250 million in funding with the aid of venture-capital firm Technology Crossover Ventures. The additional capital puts the company’s value at more than $4 billion, according to the Wall Street Journal.

Spotify will use the capital to boost its US service and expand into international markets, particularly Japan. It recently expanded into Mexico, Malaysia, Singapore and Hong Kong.

Read more »

Nokia Approves Sale Of Mobile Unit To Microsoft

Nokia Approves Sale Of Mobile Unit To Microsoft

BUSINESS

  • Nokia sells mobile unit for over $7 billion to focus on telecom equipment and services division
  • Microsoft needs to make Lumia handset profitable, has $80 billion to invest
  • Nokia had a near 14% market share in third quarter of 2013

Nokia investors have voted almost unanimously to approve selling the company’s mobile unit to software giant Microsoft for $7.35 billion.

The sale includes the Lumia smartphone trademark and technology and Asha feature phones. In 2011, then-CEO Stephen Elop abandoned Nokia’s Symbian operating system and replaced it with the Windows operating system.

Read more »

Dubai Air Show: Boeing, Airbus Secure Major Orders

Dubai Air Show: Boeing, Airbus Secure Major Orders

BUSINESS

  • Airline manufacturers secure $142 billion in orders and commitments
  • 80% of orders for Boeing
  • A total of $155 billion in orders were announced

Boeing and Airbus, the world's dominant civil aircraft manufacturers, received aircraft orders and commitments worth nearly $142 billion at the Dubai Air Show.

If commitments are confirmed, 80% of the orders will be for Boeing from Lufthansa, Emirates, Etihad Airways and Qatar Airways.

Read more »

Lockheed Martin To Cut Jobs, Close Facilities In US By Mid-2015

Lockheed Martin To Cut Jobs, Close Facilities In US By Mid-2015

BUSINESS

  • Lockheed Martin to cut 4,000 jobs across US; facilities to close in five states
  • Aeronautics, which accounts for 30% of sales, will not see any cuts
  • US Defense Department budget reduced by $52 billion in 2013

Defense contracting giant Lockheed Martin plans to cut 4,000 jobs and close facilities in five states to cut costs in response to reduced US government spending.

The closures, totaling 2.5 million square feet of real estate, will be completed by mid-2015. No new work has been anticipated for these locations, and site programs will shift to other locations.

Read more »

Volkswagen Recalls 2.6 Million Vehicles, With Focus On China

Volkswagen Recalls 2.6 Million Vehicles, With Focus On China

BUSINESS

  • Nearly half of recalls affect China, Volkswagen’s most significant market
  • Volkswagen strives to double its manufacturing capability to more than 4 million cars per year by 2018
  • New vehicles more technologically advanced, leading to greater risk of recalls

Europe’s largest car manufacturer, Volkswagen, is dealing with a worldwide vehicle recall of nearly 2.6 million sport-utility vehicles, pick-up trucks and cars as it intensifies attempts to overtake Toyota and General Motors for top sales results.

Nearly 50% of recall touches vehicles in China, Volkswagen’s largest market. The automaker’s division in China will recall 640,309 vehicles starting November 25 to change the oil in several unspecified 7-speed double-clutch gearboxes. This corresponds with Volkswagen’s recommendation that 1.6 million vans and cars need to replace the synthetic oil in their dual-clutch gearboxes with mineral oil.

Read more »

Retail: Wal-Mart Cuts 2013 Annual Outlook For Second Time

Retail: Wal-Mart Cuts 2013 Annual Outlook For Second Time

BUSINESS

  • Wal-Mart customer base affected by economic challenges
  • Revenue for US Wal-Mart stores declines 0.1%, while total US sales up 2.4%
  • US stores represent 58% of Wal-Mart’s total sales; revenue has declined for a third straight quarter

Wal-Mart Stores Inc., the world’s biggest retailer, has cut its 2013 annual outlook for the second time in three months as its customer base faces ongoing economic challenges, including stagnant wages and higher social security charges.

During the third quarter, net sales grew 1.6% to $114.88 billion and total sales grew 2.4%. International-division sales grew 0.2% to $33.1 billion.

Read more »

PC Maker Lenovo Boosts Profit 36% With Smartphone, Tablet Sales

PC Maker Lenovo Boosts Profit 36% With Smartphone, Tablet Sales

BUSINESS

  • Lenovo revenue up 13% to $9.8 billion
  • Lenovo smartphone shipments up 78%; tablets up four-fold to 2.3 million
  • Lenovo desktop PC sales dropped 3% to $2.7 billion; laptop sales increased by 8% to $5 billion

Chinese PC manufacturer Lenovo reported a higher-than-expected 36% rise in its recent quarterly profit, with the increase linked to solid sales growth for mobile devices, including smartphones.

Over the three-month period ending September 30, Lenovo earned $220 million, with revenue up 13% to $9.8 billion.

Read more »

Indian Regulators Approve Abu Dhabi-based Etihad Airways’s $325 Million Stake in Indian Airline Jet Airways

Indian Regulators Approve Abu Dhabi-based Etihad Airways’s $325 Million Stake in Indian Airline Jet Airways

BUSINESS

  • Abu Dhabi airline would control 24% of Jet Airways
  • Foreign investment previously barred in India
  • Indian airline passenger growth set at 10% to 20% annually

India's antitrust regulator, the Competition Commission, has approved Abu Dhabi-based Etihad Airways’ proposal to buy a 24% stake in Jet Airways for $325 million.

The commission studied whether Etihad would gain substantial control of Jet, if Jet's new position would hurt other carriers and what impact the deal would have on other Indian airlines. It ruled the deal was not likely to have an adverse effect on competition in India.

Read more »

British Airways, Vueling Help Parent Company IAG Boost Profit

British Airways, Vueling Help Parent Company IAG Boost Profit

BUSINESS

  • British Airways reports operating margin of close to 13% thanks to strong demand for key trans-Atlantic routes and effective cost control
  • Vueling reports operating margin at 25% due to successful product strategy, low-cost base and increased tourism to Barcelona
  • IAG competitors Air France-KLM Group and Deutsche Lufthansa AG reported unimpressive third quarter

International Consolidated Airlines Group SA, Europe’s third-largest airline group and the parent company of British Airways, saw third-quarter profit double thanks to British Airways and Spanish carrier Vueling.

During the quarter, operating profit was $925 million and profit after taxation was $777 million. Profit has continued to rise during the first nine months of the year, compared to a loss during the same period in 2012.

Read more »

Share

Follow

Browse our categories

Browse our archives

ReportLinker is a professional search engine that provides an easy access to 1,2 million market research reports and industry statistics published by 200,000 authoritative sources.