Thanks to a report on IBM which I read yesterday, I found a new English language trap for foreigners. The analyst wrote that with its new cloud offering after a takeover, IBM’s existing customers might decide to “resign contracts” they had with Big Blue and increase its revenues. The writer meant to say that its customers would renew its contracts, or sign them again. But resign is not the right word for this process.
This snafu joins the trick word “oversee” which means both administering something, and missing a part of something.
As more and more financial analysis is left to cheap labor in Ouagadougou, the need for editing increases. My business is still in demand.
I am also chuffed because the lead article in today’s NY Jewish Week was written by my great-grand-niece, Shira Hanau. She covered what is known so far about synagogue bombing in Pittsburgh, the longest article in the issue.
Two quarterly reports from drug companies headed by a Dane, one of whom was much better than the other on the conference call. The first Dane’s share rose 4.2% and the second rose 12.9%. We have an earnings report from Canada and a Belgian recovery to report and a whopping short-term gain in South Africa and another in Mexico.
There will be no blog Friday as I am undergoing a surgical procedure, but I will try to catch up Sunday.
Canada Telco Results
*BCE reported revenues in-line and profits 3 loony cents higher at 90 cents than consensus which boosted the telco’s share price on the Big Board by 3.73% following US patterns. Adjusted EPS was 96 loony cents. Net earnings clocked in at C$867 mn, up 2%.
The main rise was because of wireless additions, mostly post-paid, by 21% and 16% respectively. Total wireless customer numbers came to 178,000. BCE reaffirmed its guidance for the full year bringing in revenues up 2-4%, EPS up 1-4%, and free cash flow up 3.7 %… However free cash flow in Q3 (earnings before interest, taxes, depreciation, and amortization) fell by 1.4% to C$1.014 bn.
It also boosted its internet and other revenues by 3.2% with broadband and internet protocol TV up 8.7% to 88,000 households. It has Canada’s most advanced fiber-optic and wireless networks and aims to be the leader in communications overall.
It also added new executives and reduces lower tier management by 700 jobs, about 4%. BCE is up 4.2%.
Danish and Other Drugs
*The first Danish-headed drug company is Novo Nordisk (NVO) which reported a large unexpected drop in profits because of initial higher costs from a round of layoffs, and global competition in insulin and diet drugs. Net for Q3 fell to Danish kroner 9.04 bn (~$1.37 bn, off 7.5%. It also missed the FactSet analysts’ forecast of DKK9.41 bn.
Sales actually beat at DKK27.76 bn, up y/y from DKK26.61 bn, so results were mixed. NVO is gaining business with new diabetes and obesity treatments, just not making money from them.
