>>> TradeGate Pre-Market Indications

DAX:
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    • Zalando 3Q Revenue Beats Estimates
  • Deutsche Post (DHL TH) +2.7%
    • Deutsche Post 3Q Ebit Beats Estimates
  • Deutsche Telekom (DTE TH) +1.1%
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  • Commerzbank (CBK TH) -1%
    • *COMMERZBANK SEES FY NII ABOUT EU8.2B, EST. EU8.1B
MDAX:
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    • Freenet 9M Revenue EU1.83B
  • RENK Group (R3NK TH) +2%
  • Hensoldt (HAG TH) +2%
  • AUTO1 (AG1 TH) +1.4%
  • Fielmann (FIE TH) -2%
    • Fielmann 3Q Sales Beat Estimates; Confirms 2025 guidance
SDAX:
  • SUSS MicroTec (SMHN TH) +2.7%
    • SUSS MicroTec 3Q Ebit Misses Estimates
  • Stratec (SBS TH) +2.1%
  • Formycon (FYB TH) +2%
  • Heidelberger Druck (HDD TH) +1.2%
  • Jenoptik (JEN TH) -1.1%
  • Borussia Dortmund (BVB TH) -1.3%
  • Deutz (DEZ TH) -3.1%
    • Deutz Cuts FY Revenue Forecast, Misses Estimates

FT : Rival robotaxi start-ups’ shares tank after Hong Kong listing

Rival robotaxi start-ups’ shares tank after Hong Kong listing
Uber-backed groups Pony.ai and WeRide fall as much as 15% as analysts raise concerns about profitability

Two of China’s biggest robotaxi start-ups fell as much as 15 per cent upon listing in Hong Kong on Thursday, as analysts raised concerns about profitability in an increasingly competitive sector.

Pony.ai and WeRide, which compete fiercely in China and are both backed by Uber, raised HK$6.7bn ($862mn) and HK$2.4bn respectively in their secondary offerings.

The two companies already trade on New York’s Nasdaq, but Chinese technology groups have considered listing closer to home on fears that US President Donald Trump’s administration might pursue delistings of Chinese companies.

Hong Kong has benefited from the dealmaking boom as mainland businesses seek capital in the city. But in contrast to CATL, the battery maker that surged 16 per cent upon listing, the robotaxi start-ups struggled to gain altitude, driven by concerns over profitability and an increasing number of entrants in the sector.

“Investors should be cautious and avoid overly optimistic expectations,” said Dickie Wong, a director at Hong Kong’s Institute of Securities Dealers, who attributed Thursday’s decline to the two stocks’ underperformance in the US.

Pony.ai’s US shares have risen 7 per cent since January, while WeRide’s have dropped 36 per cent, compared with a 22 per cent rise for the Nasdaq Composite.

Within China, the two companies compete with search engine giant Baidu’s Apollo Go. Chinese electric-vehicle maker Xpeng on Wednesday said it planned to launch three robotaxi models next year, with a starting price of as low as Rmb200,000 ($28,000) a vehicle, compared with Pony.ai’s estimated $38,000 and WeRide’s $40,000.

Pony.ai’s net loss widened to $96.1mn from $51.3mn in the first half of the year, according to its prospectus. WeRide recorded a first-half net loss of Rmb791.5mn, from Rmb881.7mn a year earlier.

HSBC analysts said in a recent research note that profitability could be years away.

“Remote supervisors, parking, charging, cleaning and infrastructure costs, plus the incremental costs of technology and AI support are often overlooked,” analysts wrote. “When we factor in these costs, we believe robotaxis won’t be break-even on a cash flow basis until seven to eight years after launch.”

Globally, the companies are competing against Google parent Alphabet’s Waymo and Elon Musk’s Tesla. Uber in May agreed a deal with Pony.ai to launch services in the Middle East on the ride-hailing app this year.

Uber’s arrangement is one of more than 10 partnerships announced this year with robotaxi providers as the ride-hailing company faces pressure from Waymo in the US. Uber also has deals with Baidu and WeRide.

Pony.ai is testing autonomous vehicles in countries including the US, Luxembourg, the United Arab Emirates and South Korea. Its chief executive said it hoped to launch in Japan and potentially Australia in the next two to three years.

“In these regions, taxi fares are relatively high,” James Peng told the Financial Times ahead of Pony.ai’s Hong Kong listing, adding that other criteria for selecting new markets included a sizeable population, strong government support and reliable local partners.

“But regulatory frameworks in overseas markets are less developed compared to China,” said Peng, noting that the company had to carry out testing with a human driver in foreign markets, whereas the Chinese government has eased such rules in several cities.

“China and the US are the only two countries with comprehensive legislation governing [robotaxis],” he said.

WeRide is testing robotaxis in Singapore, Switzerland, Saudi Arabia and the UAE.

Uber is also in talks to participate in a spin-out of Pony.ai’s US arm, led by the company’s co-founder and former chief executive Travis Kalanick, according to people familiar with the matter. Uber declined to comment. Kalanick and Pony.ai did not immediately respond to requests for comment on the talks.

The US commerce department this year passed a rule blocking autonomous vehicle software used in the country to be operated or maintained by “foreign adversaries”, namely China and Russia, and set a deadline of March 2026 to meet the rule.

>>> US After Hours Summary: SNAP +15.3% sharply higher on earnings and partnersh

After Hours Summary: SNAP +15.3% sharply higher on earnings and partnership with Perplexity; RXST +23.3%, APP +5.4%, IONQ +5.4% higher on earnings; AEVA +8.4% higher on Apollo investment; ACVA -23.1%, DUOL -22.2%, ELF -21.6% under pressure after earnings

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: RXST +23.3%, LZ +20.9%, SKYT +20.7%, PEN +18.9%, FWRD +18.6%, FSLY +15.4%, SNAP +15.3% (also partnership with Perplexity), SITM +12.5%, COHR +11.4%, LNW +11.1%, ARRY +9.4%, TPC +9.1%, MKSI +8.6%, SEZL +8.5%, AEVA +8.4%, WK +8.3%, HCC +7.7%, COTY +7.4%, HRTG +6.6%, SBGI +6.4%, MQ +6.2%, CAI +6.1%, QDEL +6%, CPAY +5.9%, APP +5.4% (also increase share repurchase program by $3.2 bln), IONQ +5.4% (also successfully deployed a citywide quantum network in Geneva, Switzerland), QTWO +5.4%, SPT +5.4%, RDVT +5.4% (also $15 mln increase to share repurchase program), CPRX +5.2%, HL +5.1%, FRSH +4.9% (also expands enterprise service management), EE +4.9%, PCOR +4.8%, SAFE +4.6%, ACAD +4.3%, ENS +4.3%, PR +4%, AWR +4%, KVYO +3.9%, CHYM +3.6%, VET +3.6% (also plans dividend increase), ARM +3.1%, JAZZ +3%, JOBY +2.9%, FIG +2.9%, ECPG +2.9%, LYFT +2.7%, AMCR +2.7%, PRI +2.6%, PTRN +2.5%, HST +2.4%, OR +2.3%, SDGR +2.3%, HLF +2.3%, RAMP +2.2%, MUR +2.1%, OTEX +2%, APA +2%, RYN +2%, ADPT +2%, DLX +2%, STE +1.9%, BGS +1.9%, NFG +1.8%, TALO +1.7%, SLDE +1.7%, ULCC +1.6%, ALL +1.6%, FSK +1.5%, RAL +1.5%, DVN +1.4%, NTR +1.4% (also initiates review of Phosphate business), CXT +1.3%, ALNT +0.9%, BROS +0.8%, ALB +0.7%, INFA +0.5%, OTF +0.4%, XNCR +0.4%, WTS +0.3%, NGVT +0.3%, CW +0.2%, STAA +0.2%, MTW +0.2%, PEB +0.1%, CNMD +0.1% (also modified $150 mln buyback authorization; also suspends dividend), SMA +0.1%, SLF +0.1% (also increases dividend)

Companies trading higher in after hours in reaction to news: AEVA +8.4% (Apollo (APO) to invest $100 mln in convertible notes to AEVA) NXDR +8.2% (appoints new CFO), CBL +3.8% (authorizes new $25 mln share repurchase program), RM +3.3% (CEO to retire, names new CEO), ILMN +2.3% (responds to updates from Chinese Ministry of Commerce), UMAC +2.1% (continues domestic expansion), RYTM +2% (product listing agreements in Canada), MHK +2% (CFO to retire), FTV +1.8% (replenishes share repurchase program), H +1.2% (expanded agreement with Chase (JPM)), CGAU +1.2% (TSX acceptance of normal course issuer bid), ASST +0.7% (upsizing and pricing of initial public offering), RKLB +0.5% (successful launch of Electron mission), NVO +0.2% (new findings from STEP UP phase 3b trial)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: ACVA -23.1%, DUOL -22.2%, ELF -21.6%, AMSC -19.5%, REZI -17.4%, PRCH -17%, AOSL -15.7%, PACB -14.4%, RDW -14.2%, HNST -14.2%, RELY -13.6%, ENVX -13.3%, ACHC -13% (also COO to depart), VAC -12.5%, HUBS -12.4%, FTNT -11.4%, KMPR -10.5%, ROOT -10.2%, PAYC -10%, BMBL -9.6%, GSM -8.8%, RGR -8.3%, ERII -8.1%, TROX -7.8%, GNK -7%, DYN -6.7%, LEU -6.5%, CTRE -6.5%, HPK -6%, RVMD -4.6%, NATL -3.8%, CWAN -3.6%, MGNI -3.5%, FICO -3.4%, CRH -3.3%, SBRA -3%, VIR -2.8%, BTG -2.8%, QCOM -2.6%, QCOM -2.6%, GNW -2.5%, USPH -2.5%, KNTK -2.3%, LOPE -2%, MET -1.9%, ADMA -1.9%, DNTH -1.9%, HOOD -1.7% (also names new CFO), MCK -1.7%, ATO -1.6% (also increases dividend), UHAL -1.6%, RGLD -1.3%, TKO -1.2%, ET -1.2%, EQX -1.2%, PTC -1%, BBSI -1%, TLN -0.9%, MIAX -0.6%, CSGS -0.6%, CF -0.3%, LCID -0.2%, TPL -0.2% (also board approves 3-for-1 split), AMC -0.2%, SDRL -0.1%, RLJ -0.1%

Companies trading lower in after hours in reaction to news: NOVT -6% (commences public offering of $550 mln), VOYG -3.5% (convertible notes offering), CRH -3.3% (continues share buyback program), GH -3.2% (data for Shield screening test), LFMD -2.8% (reschedules earnings release), BNTC -2.7% (public offering of common stock), DSGN -2.3% (to initiate patient dosing of DT-818), FWRG -2.3% (secondary offering of common stock), HALO -1.7% (convertible notes offering), FFBC -1.5% (mixed securities shelf offering), OBDC -1.3% (definitive merger agreement with Blue Owl Capital Corporation II), CCC -1.1% (proposed secondary offering of common stock), PTC -1% (TPG to acquire PTC's Kepware industrial connectivity and ThingWorx Internet of Things businesses), COST -1% (reports Oct comps), UPS -0.2% (does not believe crash will have material impact on financials), APO -0.1% (to invest $100 mln in convertible notes to AEVA), PFE -0.1% (responds to Delaware Chancery Court ruling), BEN -0.1% (reports Oct AUM)

>>> Interparfums beats by $0.12, reports revs in-line; lowers FY25 guidance (91.

Interparfums beats by $0.12, reports revs in-line; lowers FY25 guidance (91.25 1.67)
  • Reports Q3 (Sep) earnings of $2.05 per share, excluding non-recurring items, $0.12 better than the FactSet Consensus of $1.93; revenues rose 1.2% year/year to $429.8 mln vs the $430 mln single analyst estimate.
  • Co issues lowered guidance for FY25, sees EPS of $5.12 from $5.25, excluding non-recurring items, vs. $5.20 FactSet Consensus; sees FY25 revs of $1.47 bln from $1.51 bln vs. $1.5 bln FactSet Consensus.
  • Mr. Atwood concluded, "Since November 2024, we have maintained our full-year 2025 guidance with confidence in our operational agility and disciplined execution. While our fundamentals remain strong with a healthy innovation pipeline, strong partnerships with global distributors and retailers, and a resilient consumer base, we are updating our 2025 guidance to reflect slower than anticipated growth through September of this year, amid ongoing macroeconomic uncertainty and moderating demand in several international markets outside the United States. We now expect $1.47 billion in sales, up 1% year-over-year, leading to diluted earnings per share of $5.12, flat compared to full-year 2024."

>>> Coty misses by $0.03, reports revs in-line; guides Q2 EPS in-line (3.78 -0.0

Coty misses by $0.03, reports revs in-line; guides Q2 EPS in-line (3.78 -0.05)
  • Reports Q1 (Sep) earnings of $0.12 per share, excluding non-recurring items, $0.03 worse than the FactSet Consensus of $0.15; revenues fell 5.6% year/year to $1.58 bln vs the $1.58 bln FactSet Consensus.
  • Co issues in-line guidance for Q2, sees EPS of $0.18-$0.21, excluding non-recurring items, vs. $0.19 FactSet Consensus.
    • Consumer demand for beauty continues to be solid, particularly for fragrances across price points and formats. At the same time, broader macroeconomic and tariff uncertainty is fueling cautious retailer ordering and a more promotional competitive environment. Against this backdrop, Coty is launching major innovations, capturing new growth opportunities with a multi-brand push into ultra premium fragrances and fragrance mists, and expanding distribution across fragrances. In parallel, the Company continues to progress on right-sizing retailer inventories to current demand trends to drive alignment between sell-in and sell-out.
    • Consistent with its prior outlook, Coty expects a gradual improvement in sales trends over the course of FY26 from the 4Q25 LFL levels, when the Company actively intervened to clean up the baseline of the business. With strong sales delivery in the month of October, particularly in Prestige, Coty expects Q2 LFL sales to be at the more favorable end of prior guidance of a LFL decline of -3% to -5%, with sequential trend improvement in both Prestige and Consumer Beauty. On the reported revenue side, Coty estimates a low-to-mid-single-digit percentage FX benefit in Q2. The Company continues to expect LFL sales to return to growth in 2H26, as sell-in and sell-out reach alignment, and supported by several key launches in Prestige, as well as more favorable comparisons.
    • Coty continues to expect a gradual profit trend improvement, with adjusted EBITDA declining by a low-to-mid teens percentage in 2Q26, consistent with its prior guidance. The Company also expects to return to adjusted EBITDA growth in 2H26, targeting $1 billion in adjusted EBITDA in FY26. While this outlook implies very strong year-over-year expansion in 2H26 adjusted EBITDA, this is primarily a function of prior year comparisons, with an implied low-single-digit growth in 2H26 adjusted EBITDA on a 2-year basis.

WSJ : OpenAI Isn’t Yet Working Toward an IPO, CFO Says

OpenAI Isn’t Yet Working Toward an IPO, CFO Says
Sarah Friar said the AI giant could reach break-even quickly and would like government backstop on data-center investments

  • OpenAI’s CFO stated an IPO is “not on the cards” currently, prioritizing growth and R&D over immediate profitability.
  • The company seeks government support to guarantee financing for AI chips, reducing costs and increasing debt capacity.
  • OpenAI could achieve profitability quickly by reducing aggressive investments, due to “very healthy” gross margins.

OpenAI Chief Financial Officer Sarah Friar said that an IPO is “not on the cards” for the company in the near term, throwing a dose of cold water on what could become one of the largest public listings in history.

Speaking at The Wall Street Journal’s Tech Live conference, Friar said the AI giant’s conversion to a new structure doesn’t portend an imminent public offering as the company prioritizes growth and R&D over profitability.

“IPO is not on the cards right now,” Friar said. “We are continuing to get the company into a state of constantly stepping up into the scale we are at, so I don’t want to get wrapped around an IPO axle.”

The company has discussed a public listing as soon as 2027, The Wall Street Journal reported.

As OpenAI ramps up its spending on data center capacity to unheard of levels, the company is hoping the federal government will support its efforts by helping to guarantee the financing for chips behind its deals, Friar said. The depreciation rates of AI chips remain uncertain, making it more expensive for companies to raise the debt needed to buy them.

“This is where we’re looking for an ecosystem of banks, private equity, maybe even governmental, the ways governments can come to bear,” she said. Any such guarantee “can really drop the cost of the financing but also increase the loan-to-value, so the amount of debt you can take on top of an equity portion.”

Friar said OpenAI could reach profitability on “very healthy” gross margins in its enterprise and consumer businesses quickly if it weren’t seeking to invest so aggressively.

“I’m not overly focused on a break-even moment today,” she said. “I know if I had to get to break-even, I have a healthy enough margin structure that I could do that by pulling back on investment.”