Showing posts with label Apple. Show all posts
Showing posts with label Apple. Show all posts

July 21, 2009

Corporate Profits a Boost for US Industry


Corporate America took another step along its long road to recovery on Tuesday as companies from the industrial heartland of Peoria to the technology hubs of Silicon Valley reported stronger-than-expected profits and bullish outlooks. The wave of positive second-quarter results from Caterpillar, DuPont and Apple, which came a week after several banks beat analysts’ expectations, fuelled investors’ hopes for a rebound in the US economy.

Shares in Caterpillar rose nearly 8 per cent on Tuesday after the world’s biggest maker of construction equipment un-veiled profits far ahead of Wall Street’s expectations and issued a more optimistic outlook. Its upbeat comments fuelled hopes that the global industrial economy was recovering. The manufacturer is a bellwether of the US economy but also heavily relies on overseas markets.

After the market close, Apple added to investors’ optimism with better-than-expected third-quarter results driven by strong sales of its iPhone. Apple’s results were the best-ever in a quarter not including a holiday. Chemical group DuPont and drugmaker Merck both reported a drop in second-quarter profits, but their earnings exceeded Wall Street’s forecasts. Coca-Cola results were ahead of analysts’ predictions but the world’s largest soft-drinks group warned US consumers remained under pressure – a factor underlined by steep revenue falls at three airlines: United, Continental and Southwest.

The figures from Caterpillar boosted stocks, pushing New York’s S&P500 index to match its intra-day high for the year of 956 set last month. “Everyone is now looking for growth in the economy and people who were under-invested in stocks are being forced back into the market,” said Anthony Conroy, head equity trader for BNY ConvergEx.

After several strong sessions that sent the S&P500 more than 8 per cent higher in the past six days, the benchmark index rose 0.4 per cent to close at 954.58. Credit Suisse on Tuesday raised its year-end target for the S&P500, to 1,020 from 920. The S&P has not traded above 1,000 since November. Technology shares have set the pace for the market, with the Nasdaq Composite up 21.5 per cent this year.

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Source: http://www.ft.com/cms/s/0/4bbd740a-7622-11de-9e59-00144feabdc0.html



June 14, 2009

Global PC Makers Vying For "Green" Crown


SAN FRANCISCO - Personal computer makers are increasingly prioritizing "green" strategies, creating a pivotal point of competition for customers that are becoming more attuned to their financial -- and societal -- benefits.

Analysts say going green has become a business plan unto itself for the industry's heavyweights: a way to stand apart from rivals, win over a growing segment of environmentally conscious consumers, and shore up branding worldwide. The three major U.S. computer vendors -- Hewlett-Packard Co, Dell Inc, and Apple Inc -- argue that customers glean real benefits, for example lower power consumption in green-certified display screens.

"It's really a green arms race, in which they're trying to one up each other," said John Spooner, an analyst with Technology Business Research. "The good news is they're all working in this direction and that's going to benefit themselves, their customers and the environment."

Analysts point to certain efforts -- such as Dell's recycling program, Apple's moves to remove toxic raw materials, and HP's actions around packaging -- as areas of success. But the IT industry still accounts for an estimated 2 percent of global emissions of greenhouse gas carbon dioxide.

Consumers might have trouble picking out just who among the PC makers are making the right moves: Dell says it aims to become the "greenest technology company on Earth"; Apple lays claims to the "greenest family of notebooks"; and HP stresses it has a long tradition of environmentalism as well as the market size to effect change.

TBR recently ranked Dell No. 1 out of 40 technology companies on corporate sustainability. But a recent Greenpeace report ranked Apple best among the major PC makers. While there are differences between the three in areas such as materials, PC power usage and recycling and packaging, analysts and environmental groups say, the green agenda is profiting from the competition between them. Campaigns by interest groups like Greenpeace to praise or tweak PC makers have been particularly effective.

"Companies are realizing that consumers do use these environmental considerations as tiebreakers. It does help differentiate their products," Forrester's Sally Cohen said. Around 70 percent of companies surveyed in a recent report by Forrester Research cited product differentiation -- the desire to stand out -- as a business driver for their environmental strategies.

"It has struck a chord with consumers, businesses, stakeholders and NGOs," said Eric Lowitt, a research fellow at Accenture. In interviews, Dell and HP -- while each asserting leadership -- downplayed talk of competition. They pointed out that any good sustainability strategy must be comprehensive, and span the company, right down to its supply chain.

Some analysts say what may be more important than companies' actual green initiatives -- often highly technical -- is their ability to communicate them to the market.

Tod Arbogast, Dell's director of sustainable business, said there is actually some collaboration around green initiatives. "I don't think we've reached the tipping point yet, I think we'll continue as an industry to innovate, challenge one another to go further. faster on these efforts," he said.

Bonnie Nixon, HP's director of sustainability, said green practices should be integrated throughout the company. HP's "commitment has really been there, certainly through the 90's and the fact that society is really focusing on green right now is great. We're in an industry that can truly demonstrate" environmental leadership, she said.

Source: http://sg.news.yahoo.com/rtrs/20090613/ttc-tech-us-pcs-96247d2.html

Tags: HP, Apple, Dell, Accenture, Forrester, Greenpeace, TBR, Bonnie Nixon, Tod Arbogast, Sally Cohen, NGO’s, Green notebooks, Global IT News,

Posted via email from Global Business News