PRESS ROOM
European equities boosted by strong second quarter earnings
Friday 03rd September '21
As of 27 August, 85% of Stoxx Europe 600 companies had reported their earnings. Earnings growth of 248% was reported beating estimates of 155% (Source: FactSet). Though European equities were starting from a lower base, given earnings contracted in the fourth quarter while S&P 500 earnings grew slightly, it is still a very positive sign and indicates that pent-up demand is helping Europe emerge from the pandemic. Among sectors, industrials led the way, but earnings growth took place across sectors in the second quarter.