The earnings period for the second quarter of companies on the Helsinki Stock Exchange is coming to an end.
OP: n chief analyst Antti Saaren according to the results period was a positive surprise, even though the turnover of the Finnish companies monitored by OP decreased by 6 percent in the second quarter compared to the previous year.
“You can talk about a positive surprise, because more than half of the companies we monitored increased their earnings. In the overall picture, a few of the biggest sectors pushed down the total income. In addition, the decline in results was partly more moderate than in the previous quarter,” says Saari in OP’s press release.
OP’s analysts expect the results of Finnish companies to turn more strongly towards growth in 2025.
“Compared to the previous year, according to our estimate, the total operating profit starts to increase from the last quarter of the year. The main drivers for growth are the forest and packaging industry, energy, consumer goods and services. Our forecast for Finnish companies’ profit growth in 2025 is 11 percent,” says Saari.
Sector-specific variation
According to OP, the results improved in the second quarter compared to a year ago, especially in the forest and packaging industry, healthcare and food.
“The significant increase in the results of the forest and packaging industry compared to the comparison period can be explained by the increase in delivery volumes of end products, the strong increase in pulp prices, and successful cost management and operational efficiency,” says Saari.
According to OP, operating results fell the most in the energy sector, construction, metal processing and the transport sector.
“In the energy sector, the results were halved from the comparison period, which is almost completely explained Liquid with the drop in profit resulting from the weakening of the market for renewable products. The market for renewable products is negatively affected by, for example, the increase in supply, the reduction of biofuel obligations in some countries and high raw material prices, says Saari.
Konecranes shares hit a record, Nokia fell
The heaviest share price increases after earnings announcements were seen in the earnings period, for example, in the engineering company From Konecranes and a fuel company From liquid.
Konecranes reported an adjusted operating profit that was clearly better than analysts’ expectations. The stock rose to a new record high in trading following the results announcement. Neste’s stock first fell after the earnings announcement, but the stock turned to a strong rise during the trading day, even though the fuel company reported a comparable EBITDA that was lower than forecasts.
Price declines after the results announcements were seen at least from those who reported a result that was weaker than the forecasts from Finnair and From Nokia. Nokia’s comparable operating profit was better than the consensus forecast, but the result was boosted by Nokia Ericssonille the big 5g contract that was lost AT&T:n with. In connection with the termination of the old contract, Nokia’s mobile phone unit received EUR 150 million in revenue.