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Iberdrola2

Companies, Ibex, Spanish economy 14th November 2022

Iberdrola estimates €47 billion investments to 2025; but 57% will be earmarked for networks, 38% for renewables vs previous plan

Renta 4 | Against the current backdrop of uncertainty, Iberdrola has decided to make a small a shift in its investments’ strategy, giving increased priority to investment in networks vs renewables, with respect to the firm’s previous plan. In the period 2023-2025, it estimates investing 47 billion euros (84% for growth). This is very similar to the investments forecast in the previous plan, although 57% will be earmarked for networks…

Strike

Spanish economy 14th November 2022

The strike of self-employed hauliers has begun

Finally there will be a strike by the hauliers’ employers. This Monday 14 November, from midnight, the Platform for the Defence of the Road Freight Transport Sector intends to bring the country to a standstill, just as it did for 20 days in March. And it is doing so on the eve of Black Friday and the Christmas campaign. To begin with, it has very little support and a great…

Naturgy Australia

Spanish economy 14th November 2022

Naturgy’s profit to September grows 36% to €1.061 billion

Naturgy earned up to September 1.061 billion euros, which represents a growth of more than 36% in an environment of high volatility in prices in the international energy markets and in a time of “high regulatory uncertainty”. In the first nine months, investments have grown by 26% to 2.6 billion euros. The board of directors has approved an interim dividend of 0.40 euros for the financial year 2022, which will…

Cellnex

Companies, Ibex, Spanish economy 13th November 2022

Cellnex EBITDA up 23% at €654 M; guidance confirmed

Bankinter | Revenues up 26% at 881 million euros (vs 874 million estimated); adjusted EBITDA up 23% at 654 million euros (vs 658 million estimated) and recurrent cash flow 330 million euros (vs 328 million estimated). Bankinter analyst team’s view: Ther results are in line with estimates and confirm the company’s medium-term guidance (2025). We see a neutral impact on the share price. We maintain our Buy stance. Target Price 52,93…

energy sector

Companies, Ibex, Spanish economy 13th November 2022

Tax on energy firms could mean €400 M for Endesa, €300 M for Iberdrola and €200 M for Naturgy

Norbolsa | The government has unveiled its proposal for temporary special taxes on energy firms. The tax would mean a charge of 1.2% on revenues in 2022 and 2023 and payment would start in 2022. We estimate the following impact in 2022e for the big Spanish utilities: Endesa 400 million euros, Iberdrola 300-320 million and Naturgy 160-200 million. The impact is a guideline, given that we still do not have…

CaixaBank

Companies, Ibex, Spanish economy 12th November 2022

The end of TLTRO would not lead to deposit war amongst Spanish banks: liquidity coverage ratios are at 233%; Caixabank top pick

Morgan Stanley | Spanish banks have underperformed 8% since their results, despite having beat NII estimates by 4%. The market is pricing in a slowdown in NII due to the increase in the costs of deposits with the end of the TLTRO and the start of competition anticipating what we are seeing in the US. Alvaro Serrano considers this to be an inaccurate analysis, given that the situation in the…

ERTES extension

Spanish economy 11th November 2022

There are already almost half a million permanent unemployed who are not counted as unemployed by the government.

By keeping the contract, the government does not count the permanent unemployed as unemployed when they are inactive. If they register with the SEPE to look for another job, they appear in another box called ‘demandantes de empleo con relaciones laborales’ (job seekers with employment relations). At least 444,000 permanent seasonal workers are inactive and looking for another job. But the Ministry of Labour does not count them as unemployed,…

pedro sanchez preocupado

Spanish Politics 11th November 2022

Sánchez, unleashed: he will eliminate the crime of sedition while his spokesperson assures that the Government does everything right but the press tells it all wrong

Yesterday morning, Isabel Rodríguez, the government’s minister spokesperson, complained that what is highlighted in the press “has nothing to do with what has been adopted in the Council of Ministers”. And she concluded that “just as we have a space for the weather, to find out if it is going to rain, given the need for the public to have access to accurate information, we should reserve a space for…

Ursula

Spanish economy 10th November 2022

Stability Pact reform pleases Spain and France but not Germany

Brussels’ compromise solution for reforming the Stability Pact has not served to bridge the traditional North-South divide that has plagued the EU when it comes to economic policy. The new deficit and debt rules proposed by Ursula von der Leyen’s Commission satisfy Spain and France, but unnerve Germany, which is demanding more fiscal discipline, as the daily El Español explains. A clash that highlights the enormous difficulty of finding an…

Madrid stock market

Companies, Spanish economy 9th November 2022

Spain has third biggest net percentage of companies, 70%, beating EPS estimates

Morgan Stanley | For the time being, the results season in Europe highlights the following: A strong quarter in terms of revenues, with 59% (in net) of companies beating consensus.The level of EPS beating is healthy, with 22% of companies beating consensus (in net).By size, the big caps are showing better trends in EPS, similar to that seen in Q2’22.The negative bias impact remains: -142bps of relative performance in the…