Here are five things you need to know this morning:
Pfizer shares surge: Pfizer Inc. beat analyst expectations in its earnings release this morning, showing higher than expected profit and boosted guidance for the rest of the year. Adjusted earnings for the year will come in between US$2.75 and $2.95 a share for the year, the pharma giant says. That’s up 30 cents from the previous forecast. A big reason for the improved showing is resurgent sales of anti-viral drug Paxlovid, which soared to $2.7 billion.
McDonald’s earnings a mixed bag: McDonald’s shares will be one to watch today as the company’s quarterly earnings showed weakness in international markets like Europe, China and the Middle East, even as its home market of the U.S. eked-out growth. Sales at restaurants open for at least 13 months fell by 1.5 per cent during the quarter. That’s more than twice as bad as the 0.6 per cent drop that analysts were forecasting. In the U.S. they inched up 0.3 per cent. Despite the sales slowdown, the company posted adjusted earnings of US$3.23 a share. That’s better than the $3.19 last year and better than what analysts were expecting. The reporting period doesn’t include the time when the company has been trying to deal with an E. coli outbreak in the U.S. believed to be linked to onions in its Quarter Pounder burgers.
Ford trims forecast: Big 3 automaker Ford is warning that its full-year earnings will come in at the low end of its forecast, as the company is struggling with supply chain problems tied to recent major U.S. hurricanes. Adjusted earnings for the year will come in a range of up to US$10 billion, the company said this morning. That’s down from $12 billion previously and less than the $10.6 billion analysts were forecasting. The company’s shares plunged in July when it said higher than expected warranty costs were draining profit. That prompted the company to take the extreme step of holding back thousands of new models to do extra quality checks to make sure they are good to go before shipping them to customers. Ford’s shares are off about six per cent in premarket trading.
CRTC grants Google exemption from ONA: The Canadian Radio-Television and Telecommunications Commissions has granted Google a five-year exemption from the Online News Act as long as it pays $100 million to Canadian news outlets within 60 days. The telecom regulator announced the decision late Monday. Google had been previously granted an exemption to the rules of the act on similar terms, and Monday’s news extends that as long as Google pays the $100 million to the Canadian Journalism Collective and allows more news businesses to join it.
Alphabet earnings after the bell: Speaking of Google, its parent company Alphabet will post quarterly results after the bell today. The technology giant is expected to post adjusted earnings of US$1.84 a share, on revenue of $86.37 billion. That’s up from $1.55 and $76.7 billion last year. Alphabet shares have gained 19 per cent this year, underperforming the broader S&P 500 index.