European blue-chips Q3 profits up 23.6% as energy surges 139%
Business
European blue-chip companies are on track for their second-strongest quarterly earnings growth in four years, mostly thanks to a huge boost from energy firms.
Rising oil prices and solid refining profits are expected to drive a massive 139% surge in third-quarter energy sector earnings, lifting overall STOXX 600 company profits by 23.6%, according to the latest LSEG I/B/E/S report.
STOXX 600 revenues rise 13.6%
Not every sector is winning (real estate and consumer cyclicals might see drops), but overall revenue for STOXX 600 companies is set to rise by 13.6%, the best since 2022.
This upbeat outlook has lifted investor spirits and pushed the STOXX 600 index to its highest point in over a month, showing how resilient European businesses can be even when times are tough.