Hermès and adidas top market gainers on Thursday

Markets turned to Europe on Thursday, after an

American-dominated session on Wednesday. Big players were Hermès International and adidas Group, with respective rising revenues (+22.7 percent for the French luxury label and +11 percent for the athletic sportswear firm) and positive guidances for the coming months.

Hermès International’s consolidated revenue for the nine months ended 30 September totaled 2,440 million euros, that’s a rise of 22.7 percent at current exchange rates (and of 15.5 percent at constant exchange rates). As reported by the French luxury company on Thursday, in the third quarter, sales grew by 24.2 percent at current exchange rates and by 15.7 percent at constant exchange rates. Sales growth for the group's own stores remained extremely robust (up 16.8 percent at constant exchange rates), despite a high basis of comparison.

They remain quite confident on their performance for the coming months, advancing that “If the current trend persists, the target for consolidated annual sales growth at constant exchange rates could exceed 13 percent. The current operating margin is expected to be between the 2010 level and the record high achieved in 2011. During the fourth quarter, Hermès will continue to follow its strategy based on expanding its distribution network, strengthening its production capacity and safeguarding its sources of supply.”

After a heavily American session on Wednesday, main news remained European on Thursday as also adidas Group released its nine months financial report.

adidas AG declined 1.4 percent to 64.42 euros per share after the German sports goods manufacturer reported third quarter group revenues grew 11 percent to 4.173 billion euros from 2011. The group’s net income grew 14 percent to 344 million euros (41 million more than a year ago). Diluted earnings per share for the quarter increased to 1.64 euros from 1.45 euros last year. In the first nine months of 2012, basic and diluted earnings per share amounted to 3.82 pounds, compared to the 3.12 euros per share achieved a year ago.

The financial income increased 25 percent to 29 million euros for the Germany group in the first nine months of 2012 from 24 million in the prior year, mainly due to an increase in interest income. Their expenses declined 13 percent to 84 million in the first nine months of 2912.Income before taxes (IBT) for the adidas Group increased 23 percent to 1.104 billion euros in the first nine months, mainly thanks to an operating margin increase and lower net financial expenses.