Money Buzz! Europa

Category: Business

  • StorPool Storage announces 40% YoY growth in H1 2020

    StorPool Storage announces 40% YoY growth in H1 2020

    Bulgarian StorPool Storage announces over 40% growth in H1 2020 compared with the same period in 2019.

    At the end of 2019, StorPool expanded its presence in the Kubernetes market by upgrading its strong core technology with a CSI plugin, providing persistent storage for K8S containers.

    The company is continually improving its Kubernetes integration since then.

    StorPool also announced new multi-site and multi-cluster features, expanding its Data Management Platform. With these features, StorPool’s customers can distribute their load between sites, migrate seamlessly virtual machines between data centers and build datacenter-scale storage systems with 10s of Petabytes of fast block storage. 

  • Škoda remains the most attractive employer in Czechia

    Škoda remains the most attractive employer in Czechia

    Škoda Auto won the first prize in Randstad Employer Brand Research 2020, based on an independent survey of 4.724 respondents. It is the second year in a row the car manufacturer has won first place.

    The 150 largest private companies in the country were rated by the general public on attributes such as attractiveness, employer reputation, career advancement opportunities, attractive salary and benefits, workplace atmosphere, and interesting job content. 

    TOP 10 most attractive employers in the Czech Republic in 2020

    1. ŠKODA AUTO
    2. Microsoft
    3. Kofola
    4. IBM
    5. LEGO Production
    6. Seznam.cz
    7. Siemens
    8. Avast
    9. ČEZ
    10. Nestlé
  • Marco Tronchetti Provera nominated as the ”new” Pirelli CEO

    Marco Tronchetti Provera nominated as the ”new” Pirelli CEO

    The Board of Directors of Pirelli nominated Marco Tronchetti Provera as Executive Vice Chairman and Chief Executive Officer (CEO) attributing to him the powers for the operational management of Pirelli.

    Marco Tronchetti Provera is Chief Executive Officer of Pirelli since 1992 and Executive Vice Chairman since 20 October 2015.

    The Chairman Ning Gaoning was attributed the legal representation of the Company and other powers foreseen in the current bylaws, notwithstanding the powers and prerogatives of the Board of Directors.

    The Board of Directors is composed of Ning Gaoning (Chairman), Marco Tronchetti Provera (Executive Vice Chairman and Chief Executive Officer), Yang Xingqiang, Bai Xinping, Wei Yintao (independent), Domenico De Sole (independent), Giovanni Tronchetti Provera, Zhang Haitao, Fan Xiaohua (independent), Marisa Pappalardo (independent), Tao Haisu (independent), Carlo Secchi (independent), Giovanni Lo Storto (independent), Paola Boromei (independent) e Roberto Diacetti (independent).

    The Board of Directors confirmed Francesco Tanzi, the group’s Chief Financial Officer, as the manager responsible for the preparation of the company’s accounting documents and nominated the supervisory body, which expired together with the Board that had nominated it, confirming, in continuity with the previous mandate, Carlo Secchi (Chairman), Antonella Carù, Maurizio Bonzi and Alberto Bastanzio.

  • EPH achieved record results in 2019

    EPH achieved record results in 2019

    EPH sales reached EUR 8.6 billion last year (compared to EUR 7 billion in 2018) and adjusted EBITDA totalled EUR 2.1 billion (compared to EUR 1.9 billion in 2018).

    The total consolidated net debt ratioâ was 2.4 times EBITDA (compared to 2.6 times EBITDA in 2018).

    The group’s strong performance, resulting from the high share of regulated and long-term contracted infrastructure assets of the group complemented by long-term contracted biomass plants in the UK and Italy, gas-fired plants with secured capacity payments mainly in the UK, and high conversion of group EBITDA into cash flow, contributed to low level of consolidated debt.

    In 2019, EPH benefited from the completed Lynemouth biomass plant (the conversion was completed in 2018) as well as positive development in relevant markets especially in relation to a significant increase in the volume of transported gas.

    Furthermore, the group managed to reduce the share of electricity manufactured from coal to less than 21% compared to less than 33% in 2018 and compared to more than 62% in 2015, despite the overall increase in produced electricity.

    The above-mentioned results do not include performance of assets that are under joint control, which, according to the international financial reporting standards (IFRS), are not reflected in the consolidated figures (these include namely our shares in LEAG and Slovenské elektrárně).

    In terms of operational indicators in 2019, companies under EPH transmitted more than 69 bcm and distributed almost 5 bcm of natural gas, distributed more than 6 TWh of electricity, delivered over 26 PJ of heat, and used almost all of their natural gas storage capacity of 61 TWh.

    Power plants operated by EPH produced 100 TWh of electricity last year, ranking EPH as the seventh largest European electricity producer.

  • The hotel market could begin recovery this autumn

    The hotel market could begin recovery this autumn

    The hotel industry continues to remain attractive for developers and investors, despite uncertainties in the following period.

    Strongly affected by the coronavirus generated crisis, many hotel operators are counting on reopening during the holiday season to unblock operations and start recovery.

    The market could return to an occupancy rate of 50-60% for hotels operated by recognized brands towards the end of the year, in a scenario in which the epidemiological context remains stable or even starts improving, according to Colliers International consultants.

    In March, Romanian hotels recorded a 68% decline in the number of tourists

    In March, the first official month of pandemic, Romanian hotels recorded a 68% decline in the number of tourists, according to The National Institute of Statistics (INS) data.

    In Bucharest, the occupancy rate was only 15% in March and April, and most hotels closed their doors to economically cope with the significant decrease in turnover.

    The decline is higher compared to other parts of the world, considering that in Europe the number of tourists decreased by only 19% and worldwide the decrease was 57%, according to The World Tourism Organization.

    The average occupancy rate in Bucharest could reach 40-45% at the end of this year and the disposable income of hotels in the Capital could register the same level as before the pandemic, of about 87 euros, in a year or even a year and a half from the time the pandemic was declared.

    Tourists will migrate from small local hotels to hotels operated by renowned brands

    Almost 50% of the total number of rooms in the Capital are operated by international brands or by well-represented local brands and enjoy a much higher degree of trust than locally operated hotels with lower recognition.

    Therefore, it is possible that, as a first trend, there will be a move from local accommodation to hotels operated by well-known brands, even if the price paid will be higher.

    Romania does not have a very high economic risk due to the slowdown in the tourism sector, as tourism represents only 3% of the Gross Domestic Product (GDP), compared to Spain (12%), for example, or Hungary, where this percentage reaches 7%.

    Thus, Colliers International consultants expect tourism to be supported to a greater extent by other economic sectors, which will recover faster, such as the services sector or transport and logistics.

    Developing hotel sites continued their activity

    In fact, funds allocated worldwide for the recovery of the economy will have direct consequences for the return of the hospitality industry.

    At local level, a package of specific measures for this industry has not yet been announced, which makes it difficult to implement a business plan for the reopening of hotels, but measures such as exemption from local taxes or the payment of income tax for a certain period aid for the payment of employees’ salaries or the implementation of security measures could help operators get through this difficult period.

  • CFOs in Romania expect massive drop in business

    CFOs in Romania expect massive drop in business

    The perception of the CFOs in Romania regarding the evolution of the main financial indicators of their companies has changed dramatically in only several months as a result of the COVID-19 pandemic, according to CFO Survey Romania, conducted by Deloitte in April-May 2020 based on opinions expressed by CFOs in Romania.

    Their main concern for this year is the drop in demand, as 73% of the survey participants estimate a decrease of the internal demand, and 45% of them, of the external demand.

    The share of those who expect revenues reduction is 67%, while at the end of 2019, 78% of them estimated increases in revenues, according to the survey.

    In this context, the CFOs’ main strategy for the next 12 months is cost reduction (58%), distantly followed by ensuring cash flow (16%) and organic growth (13%).

    Only 9% of respondents estimate increase in investment over the following 12 months, compared to 39%, at the end of 2019. The share of those who anticipate a reduction of the number of employees is 44%.

    Three quarters of the survey participants (75%) are pessimistic regarding the near future, as many of them expect their company’s financial prospects to be strongly affected by the economic crisis generated by the pandemic.

    As for the measures announced by Romania to support the local economy in the fight against the COVID-19 pandemic, 58% of the CFOs consider they are less effective than the ones announced by other European states.

    The main measures implemented by companies in the context of the COVID-19 outbreak were work from home (87%) and renegotiation of ongoing contracts (73%).

    As a result, companies in Romania saw as a priority the improvement of their IT systems to allow work from home (over 35%). Also, 28% of the respondents say they focused on the digital transformation in sales, customer care and supply chain.

  • World Class starts reopening its health & fitness clubs in Romania

    World Class starts reopening its health & fitness clubs in Romania

    Starting June 15, World Class reopens its health & fitness clubs partially with the strict application of all hygiene, safety and prevention protocols.

    Although the official relaxation measures allow World Class to reopen all its clubs, the health & fitness network has decided to take further precautions and split the reopening strategy into 2 phases.

    A number of World Class clubs will open on June 15, while all the others will follow a rigorous reopening plan that will be announced in due time.

    The period between 15-30 of June will be complimentary for all existing World Class members, allowing them to better adjust to the new training conditions and regain their comfort.

    In order to ensure a healthy training environment, all World Class clubs have been disinfected prior to reopening through an advanced nebulization technology.

    Also a new Safety Standard has been elaborated to be imposed at the same level in all clubs in the network, regardless their training category.

    The new safety and prevention measures include maintaining physical distancing, limiting occupancy, regularly sanitizing high-touch surfaces and screening employees for symptoms prior to their shifts.

    Disinfection stations will be available for members and staff in all areas of the clubs.

    Group fitness classes will be back with strict distancing between participants: 10 meters for each to train apart from the others.

    In the gym area, the distance required between members will be 7 meters. All club facilities will be open starting July 15, except saunas and indoor pools.

  • Folli Follie bankruptcy application rejected

    Folli Follie bankruptcy application rejected

    Folli Follie Group announces that the bankruptcy application filed by two bondholders of the company and heard on 8 January 2020, was rejected by the Multi-Member Court of Athens.

    The Court said that the substantial legal conditions for the declaration of bankruptcy do not exist and the company is viable.

    Meanwhile, more accurate conclusions on Folli Follie’s viability are expected with the release of the 2018 financial statements at the end of June, as well as those for the 2019 financial year in July.

    Folli Follie has a presence in 31 countries with more than 600 points of sale, in­cluding shops in the most fashionable streets of the world’s major cosmopoli­tan cities.

    In Greece, the company has more than 35 points of sale.

  • Austrian Airlines receives financial aid from the Federal Government

    Austrian Airlines receives financial aid from the Federal Government

    The Austrian Federal Government, Lufthansa and Austrian Airlines have reached an agreement on the cornerstones of a EUR 600 million coronavirus rescue package for the national network carrier Austrian Airlines.

    The financial assistance is designed to support efforts to sustainably safeguard Vienna as an aviation hub in the long term, including its flight connections to Central and Eastern Europe (CEE) and to long-haul destinations.

    According to the Austrian Economic Chambers, EUR 2.7 billion in domestic value creation, 17,500 jobs and EUR 1 billion in taxes and duties are linked to Austrian Airlines and its Vienna flight hub.

    The Republic of Austria will contribute EUR 150 million in financial assistance

    The Republic of Austria will contribute EUR 150 million in financial assistance to cover the losses incurred as a result of the COVID-19 crisis.

    In return, the Austrian Federal Government has received long-term, binding commitments to the Vienna aviation hub linked to strict ecological requirements.

    The entire financing package is dependent on state aid for Lufthansa in Germany, the approval of all corporate bodies and the consent of the EU Commission.

    Requirements with a focus on sustainability were specified

    • Austrian Airlines will shift passenger traffic to the railways on short-haul flights inasmuch as an adequate infrastructure is available and direct accessibility to Vienna Airport is ensured based on a travel time of considerably less than three hours.
    • The objective is also to make sure that the airports in Austria’s provincial capitals continue to be connected to a Lufthansa flight hub.
    • CO₂ emissions within Austria should be cut in half by 2030.
    • Austrian Airlines has pledged to increase jet fuel efficiency by 1.5 percent annually and to reduce average CO₂ emissions per 100 passenger kilometers of the entire Austrian Airlines fleet from 9.55 kg to 8.5 kg by 2030.
    • CO₂ emissions are to be reduced by 30 percent by the year 2030 from the comparable level of 2005.

    EUR 600 million required financing for Austrian Airlines

    Austrian Airlines originally reported liquidity requirements amounting to EUR 767 million to the COVID-19 financing agency of the Austrian Federal Government (COVID19-Finanzierungsagentur des Bundes GmbH, COFAG in short).

    The earlier restart of flight operations and the successful implementation of measures by the airline’s management to secure liquidity serve as the basis for the lower amount of EUR 600 million in required financing.

    This sum was also confirmed by the auditor PwC.

    EUR 300 million will be made available as loans granted via bank financing

    EUR 300 million will be made available as loans granted via bank financing. Another EUR 300 million provided as state aid and by Lufthansa will strengthen the airline’s equity capital.

    The bank loans totaling EUR 300 million are to be made available by an Austrian banking consortium consisting of Erste Group, Raiffeisenbank International, BAWAG and possibly further banks, with the Erste Group also serving as the overall coordinator.

    A guarantee for 90 percent of the loans will be assumed by the Republic of Austria via COFAG after the required evaluation steps are carried out and all necessary approvals have been granted.

    Another significant part of the coronavirus rescue package will come from the airline’s employees.

    The close to 7,000 employees will make an accumulated crisis contribution of about EUR 300 million by taking salary cuts.

    The more than 1,000 business partners and suppliers of Austrian Airlines will also make a substantial contribution.

    Contract volume could be reduced by more than EUR 150 million, partially within the context of newly concluded agreements, in part also by means of renunciation.

  • Which are Pirelli’s tyre compounds for the first races of the Formula 1 season

    Which are Pirelli’s tyre compounds for the first races of the Formula 1 season

    Pirelli has announced the compounds for the initial eight races of the 2020 Formula 1 season – in Austria, Hungary, Great Britain, Spain, Belgium and Italy.

    The company confirmed just three colours at each race in 2020, with five different compounds available: C1 is the hardest, C5 is the softest.

    Each driver must save one set of the softest of the three nominated compounds for Q3. This set will then be returned for those who qualify in the top 10, but the remaining drivers will keep it for the race.

    Each driver must have one set of P Zero White hard and P Zero Yellow medium available for the grand prix and one of them must be used.

    Each driver has 13 sets available in total for the weekend.

    „With so many variables at the start of this delayed season, and a flexible calendar that doesn’t leave much time to react to changing circumstances, it was agreed with the Teams, the promoter and the FIA to announce the compound nominations for the first eight races this year all together. As usual, these compounds have been chosen to best match the characteristics of the individual circuit and provide interesting opportunities for race strategy”, said Mario Isola, Pirelli Head of F1 and car racing.

  • COVID-19 pandemic has reduced the market capitalisation of companies

    COVID-19 pandemic has reduced the market capitalisation of companies

    The market capitalisation of the 100 largest listed companies in the world declined by 15%, representing USD 3,9 trillion în Q1 2020, because of the COVID-19 pandemic, after an increase of 20% in March – December 2019, according to PwC’s Global Top 100 companies.

    The companies in the Oil & Gas sector were hit hardest.

    As a result of this evolution, between 31 March 2019 and 31 March 2020, for which the ranking is made, the market value of the 100 largest listed companies in the world reached USD 21.5 trillion, 2% up from the previous corresponding period.

    Energy and the financial sector, the biggest declines. At the opposite pole, utilities, technology and health

    In the first three months of 2020, all sectors declined. The most affected was oil and gas, down 37%, followed by finance by 23%.

    The smallest decreases were registered by the utilities companies, of 1%, technology, which lost 11% of the market capitalization, and by the consumer service companies, with minus 6%.

    The latter’s evolution was supported by the 16% (USD 23 billion) growth of Netflix, one of the ten companies whose market value increased during that period.

    Top 10 most valuable companies. Saudi Aramco ranks first

    Saudi Aramco joined the Global Top 100 this year having undertaken the largest IPO in history in December 2019. Saudi Aramco entered the list in first position and has retained this position ever since, with a market capitalisation at 31 March 2020 of USD 1,6 trillion.

    Saudi Aramco has thus surpassed last year’s leader, Microsoft, which is now on second place, followed by Apple.

    Even with the COVID-19 disruption, the market capitalization of Microsoft and Apple each exceeded USD 1 trillion as of March 2020. The performance of Amazon, placed on fourth place, was boosted by a surge in demand created by movement restrictions.

    The world’s top 10, made up mainly of technology and e-commerce companies, is completed by Alphabet, Alibaba, Facebook, Tencent, Berkshire and Johnson & Johnson.

    Even with the impact of COVID-19, Tesla was the biggest riser in the three months to March 2020, of 28%, at the opposite pole is Citigroup, with a decrease of 49%.

    The US continues to dominate at the regional level

    For the sixth consecutive year, the US ranks first, having more than half (57) of the companies in the top followed by Europe, with 21 companies, China and its regions, with 12 companies.

    By region, European companies in the global Top 100 experienced the most significant reduction in Q1 2020, by 25% (USD 956 billion).

    The market capitalization of American companies in the ranking decreased by 14% (USD 2.2 trillion), and that of Chinese companies by 11%. Brazil, Australia and South Africa no longer appear in the ranking, after the exit of Petrobras, BHP and Naspers.

    Unicorns value is growing

    Regarding the unicorns, the value of the Top 100 Unicorns grew by 5% to USD 853 billion as at 31 March 2020.

    The outlook for unicorns remains positive in the medium term. Some public companies have seen a surge in demand since COVID-19 took hold which has translated into valuation growth, particularly technology / technology enabled and health care businesses – sectors where unicorns are well represented.

    Similarly to the Global Top 100, the US dominates the Top 100 unicorns, representing half of the list in terms of number of companies and value, China ranks second with 26 companies and Europe is on third place, with ten companies, of which six from Great Britain and three from Germany.

  • Campari bought back 589.510 own shares for over € 4 million

    Campari bought back 589.510 own shares for over € 4 million

    Campari Group announces that between June 1st 2020 and June 5th 2020 it bought back, on the regulated market managed by Borsa Italiana, 589.510 own shares at an average price of € 7,2382 per share for a total amount of € 4.266.969,36.

    The transactions have been executed by UBS Europe SE.

    Most shares, 519.696, were bought on June 1st at an average price of € 7,2189 per share.

    Campari paid a total of € 3.751.633,45 in this transaction.