European Stocks Rise Amid Earnings Reports
LONDON — On Thursday, European stocks saw an uptick as investors reacted positively to a series of earnings reports.
The pan-European Stoxx 600 index climbed 0.4% in London by 12:45 p.m. (7:45 a.m. ET), with many sectors and major exchanges in the green.
Local exchanges opened positively after Wednesday’s mixed market close, as a fresh wave of corporate earnings caught investors’ attention.
Shares of engineering giant Siemens surged 7.1%, spurred by an upward revision of its earnings per share outlook for the 2026 financial year, now forecasted between 10.7 euros and 11 euros, up from a previous range of 10.4 to 11 euros.
CEO Roland Busch mentioned on CNBC’s “European Early Edition” that the sector is evolving rapidly. “We believe the real-world impact of AI on industrial manufacturing and product design will be felt sooner than we think,” he added.
In the luxury sector, Paris-based Hermès reported an operating profit of 6.6 billion euros ($7.8 billion), exceeding expectations and reflecting a 2.6% rise after a notable 9.8% jump in sales during the fourth quarter, particularly strong in the U.S. and Japan. This success buoyed other luxury brands as well, with LVMH and Gucci’s parent company Kering rising by 0.4% and 0.6%, respectively. Richemont followed suit with a 0.4% increase.
Looking at the fintech scene, Dutch company Adyen saw its net revenue increase by 17% but faced an 18.5% drop in stock price during afternoon trading. Unilever’s spinoff, Magnum Ice Cream Company, experienced a significant 11.7% decline after reporting a 48% drop in annual profit.
Shares of the Mercedes Benz Group fell by 2.5%, reflecting a 57% drop in operating profit in 2025 due to rivalry with China and ongoing tariffs affecting revenue.
In London, Schroders’ shares skyrocketed 28.5% after U.S. investment firm Nuveen announced plans to acquire the British asset manager for 9.9 billion pounds ($13.5 billion), a move that would create one of the largest fund management firms globally, with assets nearing $2.5 trillion.
Additionally, Deutsche Stock Exchange reported a 2.3% increase after the German exchange operator announced it would buy General Atlantic’s 20% stake in index provider ISS STOXX for $1.3 billion.
It appears to be a fruitful day for corporate profits, with companies like L’Oréal, Anheuser-Busch InBev, and British American Tobacco also reporting results. UK GDP and industrial production figures for the fourth quarter are set to be released soon.
In Asia-Pacific markets, Japan’s Nikkei stock index hit a milestone, reaching 58,000 yen for the first time, marking significant post-election gains.
Meanwhile, U.S. futures tracking the Dow Jones Industrial Average remained mostly unchanged after a three-day winning streak ended.
