Whirlpool of India Limited just released its latest quarterly report and things are not looking great. Results showed a clear earnings miss, with ₹17b revenue coming in 3.5% lower than what the analystsexpected
Category Archives: Financial
Beko Europe in Italy
Beko Europe’s Meeting with Italian Social Partners: A Disappointing Update
On November 7th, a long-awaited meeting took place at the Ministry of Industry and Made in Italy in Rome. The meeting, attended by Beko Europe CEO Ragip Balcioglu, was intended to address the company’s operational challenges in Italy. However, the outcome was far from positive.
During the meeting, Beko Europe outlined several significant issues impacting its Italian operations:
* Weakened Consumer Demand: A notable slowdown in consumer demand across Europe has negatively affected the company’s sales.
* Intensified Competition: Increased competition from Asian market players has further eroded Beko Europe’s market position.
* Negative Business Performance: Despite substantial historical investments, the company has experienced negative business performance.
* Structural Overcapacity: Italy’s manufacturing facilities are facing challenges due to structural overcapacity.
These factors have collectively created a challenging environment for Beko Europe’s Italian operations. The meeting with social partners aimed to discuss potential solutions and strategies to mitigate these issues. However, the specific details of the discussions and any proposed solutions have not been publicly disclosed.
As the company navigates these turbulent times, it remains to be seen how Beko Europe will adapt to the changing market dynamics and ensure the sustainability of its Italian operations.officially announced the closure of factories in Poland and the group’s only plant in the United Kingdom, the spotlight is now on Italy where Beko has 4,400 employees, exceeding 5,000 with temporary workers.the historic refrigeration line in Cassinetta di Briandronno (but not the line dedicated to built-in ovens and microwaves); the entire Siena plant (dedicated to the little-selling category of chest freezers) and the Comunanza site engaged in the production of washing machines and washer-dryers, also produced in Beko’s plants in Turkey and in what until the merger was Beko’s only industrial presence in Europe: the Ulmi plant.
In total, according to press sources that followed the event, at least 1,000 jobs are at risk among the 4,400 employees in Italy, excluding temporary workers.
Vanguard investment in Whirlpool
Vanguard Group Inc, a prominent investment firm, expanded its portfolio by acquiring an additional 25,958 shares of Whirlpool Corp a leading home appliance manufacturer. This transaction increased Vanguard’s total holdings in Whirlpool to 5,502,792 shares, reflecting a significant investment at a trade price of $107 per share. This move is part of Vanguard’s ongoing strategy to diversify and strengthen its investment portfolio
Haier targets India growth
Pending government approval, Haier’s joint venture aligns with its growth strategy to meet India’s rising demand.Haier Group is planning a joint venture (JV) with India’s JSW Group, aiming at a proposed investment of Rs 1,000 crore. Sources indicate that Haier has submitted its proposal to the Indian government, as required under Press Note 3 of 2020, which mandates government approval for investments from countries sharing land borders with India. The application is currently under review by an inter-ministerial committee headed by the Home Secretary.
Midea profit
Midea increased its revenue by 8% in the third quarter of 2024 compared to the third quarter of 2023: 103 billion yuan, equal to 13.3 billion euros. Profit rose more than proportionally (15%) to 11 billion yuan equal to 1.4 billion euros with a margin of 11%
In the first nine months of the year, sales were almost 10% higher than in the first nine months of 2023, and profit was 14.4% higher
Fnac-Unieuro: European Antitrust Authority to decide by December 6
The merger between Unieuro and Fnac Darty was officially notified to the European Commission only on October 31. Brussels officials have opened the ‘case’ M11662 as stated on the website and will communicate their decision by December 6.
Midea Group’s net profit in the third quarter of 2024 was 10.895 billion yuan, a year-on-year increase of 14.86%
Midea Group released its third quarter report for 2024 today. In the third quarter, operating income reached 101.701 billion yuan, a year-on-year increase of 8.05%;Net profit was 10.895 billion yuan, a year-on-year increase of 14.86%。
Midea Group achieved operating income of 318.975 billion yuan in the first three quarters of 2024, a year-on-year increase of 9.57%;Net profit was 31.699 billion yuan, a year-on-year increase of 14.37%.
Elica limits the drop in turnover thanks to OEM sales
Elica closes the third quarter with a contraction of ‘only’ 1.1% thanks to the excellent performance of the Engine Division (+9%) which gained market share in Europe. The bet on Cooking is slow to pay off: in the January-September period, despite the award-winning models of the Nikolatesla and Lhov lines, sales fell by 4% (very weak demand in Europe, improvements in the USA).
The balance of the very difficult first nine months of 2024 sees a drop of almost 5% in turnover, down to 342 million euros and margins in line with expectations. The Fabriano group does not give up and finances an intense promotional activity and investments in its own brand lines with careful cost control. The margin on revenues in the first nine months was 7.2% against 10.4% in 2023.
Hisense milestone
Hisense, a leading brand in global consumer electronics and home appliances, announced a remarkable milestone with its overseas business revenue surpassing $12.2 billion USD in the fiscal year of 2023. This significant achievement was revealed at the Group’s 55th-anniversary celebrations, at which the company also unveiled its ambitious future goals.
Over the past five years, Hisense has significantly expanded its global footprint and achieved breakthroughs in technological foundation. The company’s acquisition of SanDen Corporation and development of AI picture quality chips were catalysts for growth, enabling Hisense to enter new markets and enhance its technological capabilities. As a result, Hisense’s overseas revenue has more than doubled since 2019, while in 2023 Hisense Group’s revenue surpassed $28.7 billion USD.
At the celebration event, Hisense Group Chairman, Mr. Jia Shaoqian, delivered the speech “Faithful as in the Beginning, Creating the Future”, introducing future goals, including becoming a high-quality development model by leveraging industrial clusters; transitioning towards green and low-carbon operations; expanding its global reach through transformation from China-centric to a truly global management model; and establishing a world-class enterprise and global brand.
“We continue to strengthen our core competitiveness in technology and products, leverage strong appeal in cross-cultural integration, and enhance global competitiveness in building a brand matrix,” emphasized Mr. Jia. “Hisense will persist in developing our own brands, aiming for the high-end market in resolutely striving to become world-class!”
With a focus on innovation, Hisense has dedicated approximately 5% of its annual revenue to R&D, with 30% of that investment directed towards pre-research. By prioritizing user needs and customer satisfaction, Hisense ensures that its products and technologies serve users and create value.
Hisense has established a strong global presence with 36 industrial parks and production bases, 30 R&D centers, and 64 overseas offices, forming a “5+1” network covering Europe, the Americas, ASEAN, the Middle East, Africa, and China. To drive growth, Hisense is accelerating its manufacturing footprint globally. In Africa, the company is establishing new production facilities, while in ASEAN and Latin America, Hisense is increasing localizing production and research capabilities. This strategic expansion will enable Hisense to better serve customers and strengthen its global competitive position.
Disappointing third quarter for Arçelik
Arcelik the Turkish group lost 5 billion Turkish liras in the summer against a slight loss in the second quarter and a profit in the first quarter.Arçelik has announced its financial statements for the third quarter of 2024. The company suffered a net loss of 5 billion Turkish liras (135 million euros), much worse than the 12.7 million euros lost in the second quarter and the 13 million (equivalent in euros) profit in the first quarter. Sales fell only 5% to 105 billion Turkish liras (2.85 billion in euros) but the product mix focused on low-end products and the pressure on prices hit margins. EBITDA in the third quarter was 27% lower than that of the third quarter of 2023 and 60% lower than that of the second quarter The Whirlpool merger brought an additional contribution of 656 million euros. Western Europe is now Arçelik’s largest market with 39% of sales. There is very strong growth in the American market. The American sales share, which was 5% in 3Q23, increased to 12% in 3Q24
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