Swiss Finance Zone

Nestlé: Full Year Results and Analysts Reactions

2010-02-24T02:15:58-07:00

In 2009, the Nestlé Group’s sales reached CHF 107.6 billion, with organic growth of 4.1%, including real internal growth of 1.9%. Foreign exchange impacted sales by -5.5% and divestitures, net of acquisitions, by -0.7%. Food and Beverages’ sales reached CHF 99.8 billion, with organic growth of 3.9%, including real internal growth of 1.6%. Foreign exchange impacted Food and Beverages’ sales by -5.7% and divestitures, net of acquisitions, by -0.7%. Underlying earnings per share rose by 9.6% from CHF 2.82 to CHF 3.09, or 16.3% in constant currencies. Net profit was CHF 10.4 billion in 2009 and earnings per share were CHF 2.92. These figures are not directly comparable with 2008 because of the CHF 9.2 billion profit on the disposal of 24.8% of Alcon in 2008.

Givaudan: Full Year Results and Analysts Reactions

2010-02-19T15:21:16-07:00

In 2009, Givaudan group sales totalled CHF 3,959 million, an increase of 1.4% in local currencies and a decrease of 3.1% in Swiss francs compared to the previous year. On a comparable basis (in local currencies and excluding the impact of divestments), sales increased by 1.6% versus 2008. Other important figures:

* Sustained EBITDA margin at 20.7%
* Net income up 79% to CHF 199 million
* Free cash flow tripled to CHF 459 million
* Strengthened balance sheet, net debt reduced by CHF 939 million
* Cash dividend of CHF 20.60 proposed

Swiss Re: Full Year Results and Analysts Reactions

2010-02-19T15:14:16-07:00

Swiss Re returned to profit in 2009, reporting net income of CHF 506 million, compared to a loss of CHF 864 million in the prior year. Net income was impacted by impairments of CHF 2 billion, mainly in the securitised products portfolio, and by mark-to-market losses of CHF 1.9 billion on corporate bond hedges. The unrealised gains on these hedged corporate bonds of CHF 2.6 billion are reflected in shareholders’ equity. Earnings per share were CHF 1.49, compared to CHF –2.61 in 2008. Shareholders’ equity increased to CHF 26.2 billion at the end of 2009, compared to CHF 20.5 billion at the end of 2008. For the full year, return on equity increased to 2.3%, compared to –3.4% in 2008. Book value per common share was CHF 67.7, an increase of 11.1% compared to CHF 61.0 at the end of 2008. Given the restored capital strength of the Group and the continued healthy operating performance of its core business, the Board of Directors proposes to increase the dividend to CHF 1.00. This is the first step in returning to a normal dividend policy.

Credit Suisse: Full Year Results and Analysts Reactions

2010-02-12T11:23:28-07:00

Credit Suisse Group achieved a strong performance in 2009, with net income of CHF 6.7 billion, a return on equity of 18.3% and net new assets of CHF 44.2 billion. The tier 1 ratio was 16.3%. In 4Q09, the Group recorded net income of CHF 0.8 billion, a return on equity of 8.3% and net new assets of CHF 12.5 billion, demonstrating the resilience of the business despite lower client trading activity in November and December. The Board of Directors will propose a cash dividend of CHF 2.00 per share for 2009.

UBS: Full Year Results and Analysts Reactions

2010-02-10T23:22:15-07:00

Net loss attributable to shareholders decreased to CHF 2,736 million for full-year 2009 from CHF 21,292 million in 2008. Adjusted for the items below, the underlying pre-tax profit for 2009 was CHF 1.4 billion. In 2009, the biggest negative accounting impact came from losses on own credit on financial liabilities designated at fair value. These own credit losses were driven by the improved perception of UBS's creditworthiness during 2009, which was a positive development but led to a net charge of CHF 2.0 billion. The other items were a loss in relation to the closing of the UBS Pactual sale (CHF 1.4 billion), restructuring charges (CHF 0.8 billion) and a gain on the mandatory convertible notes formerly held by the Swiss Confederation and converted in August 2009 (CHF 0.3 billion).

Zurich Financial Services: Bordier Confirm PLUS

2010-02-10T00:11:38-07:00

The group’s Q4 and annual results for 2009 were marginally better than the already high expectations. Their quality is in fact well above average in recurring terms. As a result the group can afford the luxury of rewarding its shareholders with a very high dividend of CHF 16 (6.6% yield) with no adverse impact on the financial strength of this group which remains a reference in the sector. The markdown of this share against the sector is not simply unjustified, it is unjustifiable. PLUS code confirmed.

Petroplus: Helvea Cuts Target Price To CHF20

2010-02-06T09:40:11-07:00

Petroplus 2010 refinery market outlook has pleased Helvea, which, however, keeps its bearish longterm view on the gasoline market, cutting its price target for the Swiss-listed refiner to CHF20 from CHF24. Broker also says that Petrolplus needs to improve its balance sheet. Keeps neutral rating.

Zurich: Full Year Results and Analysts Reactions

2010-02-06T09:38:28-07:00

Zurich Financial Services Group (Zurich) reported today continued strong operating performance, sustained profitability in all its core business segments and targeted growth in profitable market segments, particularly in Global Life and Farmers. For the year 2009, the Group generated an increased business operating profit and net income¹ after tax of USD 5.6 billion and USD 3.2 billion, respectively. Reflecting its confidence in the sustainability of these results, the Zurich Board of Directors will propose to the shareholders a gross dividend of CHF 16.00. “2009 was an excellent year for Zurich. We generated a strong operating performance across all our core businesses and emerged from a challenging year with one of our strongest balance sheets ever,” remarked Zurich’s Chief Executive Officer Martin Senn. “It is that proven ability to generate consistent earnings and achieve growth in targeted market segments that underpins my confidence looking forward, as it enables Zurich to face both challenges and opportunities from a position of strength.”

Roche: Full Year Results and Analysts Reactions

2010-02-06T09:25:16-07:00

Roche reported a decline in full-year net profit on expenses related to the takeover of California-based biotech firm Genentech last year, but said brisk sales of flu drug Tamiflu and cancer medicines drove revenue higher. Sales of prescription drugs are off to a strong start in 2010, the drug maker said, and will probably rise around 5% this year.Net profit attributable to shareholders fell 13% to 7.78 billion Swiss francs ($7.36 billion) from CHF8.97 billion, below the CHF8.22 billion expected by analysts. For the full year, sales rose 8% to CHF49.05 billion from CHF45.62 billion. In local currencies, sales increased at a faster 10% pace, underlining that the Swiss franc's strength last year pressured earnings.

Morgan Stanley Ups Roche, Novartis Price Targets

2010-01-31T14:51:00-07:00

Morgan Stanley raises its Roche price target to CHF227 from CHF200 and its Novartis target to CHF61 from CHF49.50. Morgan Stanley cites Roche as one of its favored stocks in the European pharma industry and keeps an overweight rating. The bank points to the company's strong pricing and innovation power and expected synergies from the full takeover of Genentech. With Novartis, Morgan Stanley likes the company's strong late-stage pipeline, potential of MS drug FTY720 and favorable valuation. Novartis is at equalweight.

Credit Suisse - Research

2009-01-12T23:38:07-07:00

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