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Earnings: TSMC Rises 8% With a 54% Profit Increase; Nokia Drops 6% After a Sales Decline; Alcoa Climbs 5%; CSX Falls 4%

Fernanda T
Latest News
October 17 2024 6:33AM

Taiwan Semiconductor Manufacturing Co (NYSE:TSM) – TSMC reported net income of T$ 325.3 billion ($10.11 billion) in the third quarter, up 54%, exceeding the T$ 300.2 billion estimate. Revenue reached US$23.5 billion, up 36%, surpassing the forecast of $22.4 billion to $23.2 billion. Capital expenditure was $6.4 billion, compared to US$ 6.36 billion in Q2. For Q4, the company estimates revenue between $26.1 billion and $26.9 billion and expects capital expenditures of just over $30 billion in 2024, in line with previous expectations. The stock, up more than 70% year-to-date, rose 7.6% pre-market.

Nokia (NYSE:NOK) – Nokia reported a 9% increase in Q3 operating profit, with earnings before interest and taxes (EBIT) rising to $492.73 million (€454 million), exceeding analyst expectations of €424 million. Despite growth in several areas, some divisions still face market weakness. Net sales fell 8% to $4.70 billion (€4.33 billion), below the €4.76 billion estimate due to weak sales in India. The company maintained its annual profit forecast between €2.3 billion and €2.9 billion. Shares fell 6% in pre-market trading after closing 1.1% higher on Wednesday.

Alcoa (NYSE:AA) – The global aluminum and bauxite producer reported earnings per share of $0.38, with adjusted net income of $0.57 per share. Adjusted EBITDA was $455 million. The acquisition of Alumina contributed to sequential growth, despite a 4% drop in alumina production. Future projections remain strong, with a focus on strategic partnerships. Shares rose 5.1% in pre-market trading after closing 1.9% higher on Wednesday.

CSX (NASDAQ:CSX) – The U.S. rail operator reported Q3 2024 earnings per share of $0.46, up from $0.41 a year earlier, but below the expected $0.48. Revenue of $3.62 billion was up 1%, driven by merchandise and intermodal volumes. Operating margin increased to 37.4%. However, coal revenue and fuel surcharges declined due to lower coal demand and operational challenges. CSX forecast a “more challenging” Q4 due to lower fuel prices, weak coal demand, and the impact of two major hurricanes in the U.S. Southeast. CSX expects a $200 million sales loss and declining margins. Shares fell 4% pre-market after closing down 0.1% on Wednesday.

Kinder Morgan (NYSE:KMI) – The energy infrastructure company reported adjusted earnings of 25 cents per share, below the expectation of 27 cents. Revenue was $3.699 billion, below the projection of $4.123 billion. Net income reached $625 million, while adjusted EBITDA was $1.880 billion, up 2%. Free cash flow totaled $0.6 billion. Kinder Morgan lowered its annual forecast due to lower commodity prices and smaller crude oil volumes. Shares fell 1.9% in pre-market trading after closing 0.7% higher on Wednesday.

PPG Industries (NYSE:PPG) – The paint and coatings manufacturer reported Q3 earnings per share of $2.13, below the estimate of $2.15. Revenue was $4.58 billion, missing the projection of $4.67 billion. Declining industrial coatings sales, particularly in the automotive sector, impacted results. However, the performance coatings segment saw growth, led by aerospace coatings.

Steel Dynamics (NASDAQ:STLD) – The U.S. steel producer reported Q3 revenue of $4.34 billion, exceeding the estimate of $4.177 billion. Earnings per share were $2.05, above the projection of $1.97. The company noted steady steel demand and expects price recovery and new gains in 2025, with new coating and aluminum rolling operations.

Rexford Industrial (NYSE:REXR) – The California-focused industrial real estate company reported net income of $65.1 million ($0.30 per share), up from $56.3 million a year earlier. FFO increased 13.1%, reaching $130 million, with $0.59 per share. Revenue totaled $241.8 million, beating the $227.67 million projection.

Equifax (NYSE:EFX) – The credit information services company reported Q3 2024 revenue of $1.442 billion, slightly below the estimate of $1.443 billion. Net income was $141.3 million, with an EPS of $1.13, down from $1.31 a year earlier. The company expects future growth based on its verification solutions and international expansion. However, Equifax projected annual revenue below Wall Street forecasts due to the impact of high interest rates on loan demand, especially mortgages. The company expects annual revenue between $5.70 billion and $5.72 billion, below the $5.74 billion expectations.

First Industrial Realty Trust (NYSE:FR) – The U.S. industrial real estate company reported funds from operations of $92.3 million, or $0.68 per share, surpassing the estimate of $0.67. Net income was $99.4 million ($0.75 per share), with revenue of $167.6 million, above the $166.8 million projection.

Discover Financial Services (NYSE:DFS) – The financial services provider reported Q3 2024 net income of $965 million, up 41% from the previous year. Earnings per share were $3.69, beating the estimate of $3.07. Total revenue was $4.453 billion, above the forecast of $4.175 billion, with 10% year-over-year growth.

Synovus Financial Corp. (NYSE:SNV) – The regional bank and diversified financial services provider reported Q3 2024 earnings per share of $1.18, up from $0.60 a year earlier. Adjusted diluted EPS was $1.23. Pre-provision net revenue grew 28%, reaching $251 million. The credit loss provision dropped 68%. Core deposits increased by $294.6 million.

Netflix (NASDAQ:NFLX) – The company is set to release its Q3 earnings on October 17, with high expectations. According to FactSet, Netflix is expected to post adjusted earnings of $5.12 per share, compared to $3.73 last year, and revenue of $9.77 billion, up from $8.54 billion. The subscriber count is projected to reach 281.5 million, up from 247.2 million last year.