FRANKFURT/STOCKHOLM (Reuters) – Volkswagen (VOWG_p.DE: Quote, Profile, Research, Stock Buzz) shares dropped on Monday after Europe’s biggest carmaker said its operating profit margin was likely to miss analyst forecasts this year and it would ask shareholders to help fund a buyout of Swedish trucks arm Scania (SCVb.ST: Quote, Profile, Research, Stock Buzz).
The shares fell as much as 7.5 percent after the German group announced its operating margin guidance on Friday, along with a 6.7 billion euro ($9.2 billion) bid for the approximate 37 percent of Scania it does not already own.
LONDON/FRANKFURT, Feb 18 (Reuters) – Investors keen on
snapping up a gas power plant should keep their focus on Britain
as deals in continental Europe could backfire more easily if
bets on rising power prices and capacity gaps go against them.
Europe’s gas plants’ profits have taken a severe hit due to
growing renewables capacity, low coal and carbon prices and
stagnating energy demand in a weak economic environment.
FRANKFURT, Feb 6 (Reuters) – Wacker Chemie posted
forecast-beating fourth-quarter results on Thursday, citing
strong demand for the polysilicon it supplies to Asia’s booming
Following years of falling government subsidies for solar
power in Europe, the global industry is taking heart from
China’s decision to more than quadruple solar generating
capacity to 35 GW by 2015 and Japan’s push to find alternatives
to lost nuclear power following the 2011 Fukushima disaster.
FRANKFURT, Feb 5 (Reuters) – German utility E.ON
and gas firm VNG AG are considering selling their
jointly owned regional gas grid EVG Thueringen in an auction
that could fetch 300-400 million euros ($406-540 million), two
people familiar with the matter said.
The sale of EVG, which operates a 1,200 kilometre gas grid
in the German states of Thuringia and Saxony, could be launched
this month or next, one of the people told Reuters.
FRANKFURT, Feb 4 (Reuters) – German wind turbine maker
Nordex will post its first profit in three years for
2013, its chief financial officer said on Tuesday, citing a
successful overhaul that saw the group cut costs and jobs at
home and abroad.
Nordex is emerging from an overcapacity crisis and falling
state subsidies as European governments back wind power, which
is much cheaper than its solar equivalent, to increase their
exposure to renewable energy sources.
FRANKFURT (Reuters) – Faced with a plunge in profits, Germany’s power utilities are having to bend to the will of the government and join the renewable energy revolution, while smartening up on the retail front with new customer-friendly energy saving products.
“The situation in the energy sector is miserable, in Germany and in the whole of Europe,” Peter Terium, chief executive of RWE (RWEG.DE: Quote, Profile, Research), Germany’s second-largest utility by market value, said at an industry conference last month.
FRANKFURT, Feb 3 (Reuters) – Faced with a plunge in profits,
Germany’s power utilities are having to bend to the will of the
government and join the renewable energy revolution, while
smartening up on the retail front with new customer-friendly
energy saving products.
“The situation in the energy sector is miserable, in Germany
and in the whole of Europe,” Peter Terium, chief executive of
RWE, Germany’s second-largest utility by market value,
said at an industry conference last month.
FRANKFURT, Jan 28 (Reuters) – German utility RWE
announced a 2013 writedown on Tuesday of 3.3 billion euros ($4.5
billion), more than twice its net profit a year earlier,
reflecting losses at coal and gas-fired power plants hit by low
wholesale prices and rival renewables.
Top German utilities RWE, E.ON and EnBW
have all announced plans to close or mothball thousands of
megawatts of coal and gas plant capacity.
BERLIN, Jan 21 (Reuters) – Big problems are prompting big
ideas about reforming Germany’s utility sector ranging from a
super-merger among players in the “big four” to creating a “bad”
utility to take over loss-making plants.
The business model for German utilities has crumbled over
the last three years, rocked by the country’s decision to drop
nuclear energy by 2022, record-low wholesale power prices and a
boom in solar and wind power capacity that is pushing coal and
gas plants off the grid.
FRANKFURT (Reuters) – Germany’s energy sector gets its first major speech from new economy and energy minister Sigmar Gabriel this week with utilities and households both hoping he can ease the cost burden imposed on them by Berlin’s push for greener energy.
Germany is undergoing Europe’s deepest energy transformation as it exits nuclear, renewables surge and cheap coal plays havoc with plans to switch to cleaner natural gas.