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Wednesday, 30 March 2011 |
FashionUnited Top 100 Index closed at 1,161.94, rising by
4.02 points.Compared to the rest of European indexes, the Paris CAC was up 8 at 3,985 and the Frankfurt DAX was 12 points firmer at 6,950. Milan’s MIB index performed weaker, however, down 88 at 21,922.
Most European bourses have opened modestly firmer, continuing yesterday’s firmer trend, despite Wall Street’s late swoon yesterday.
Fashion firm Hugo Boss has made a “successful start” to 2011. The German designer label firm expects to grow underlying sales by at least 12% this year, driven by growth in demand from China and America. "All of the regions and distribution channels will contribute to the gain," added a spokesman from the fashion designer. The group is targeting growth in core earnings before interest, tax, depreciation and amortization of at least 15% this year. On the economic front, French consumer spending on manufactured goods rose 0.9% in February after January’s revised 0.3% fall. The German label stocks ended the session down by 0.05%.
Another German stock, Triumph Intl., was the strongest performer of the FU Top 100 Index. The swimwear house closed up by 7.76%.
In close Sweden, H&M is set to report a 24 percent dive in quarterly earnings on Thursday and investors will be anxious to see how it is coping with the rising cost of cotton and wary European consumers. "Value-for-money players such as H&M are likely to have a harder time offsetting rising sourcing costs with price increases than luxury goods dealers, because of differences in the nature of their customer bases," DnB NOR analyst Asgeir Birkeland, which has a "sell" rating on H&M, said in a note.
Also Next announced its earnings report for the year ended January 2011, which supports an excellent growth in earnings per share. The retailer reported 18% increase in earnings per share, 1% increase in group revenue and an increase of 18% in its total dividend. The company’s group profit before tax is $551 million. |
