Analysts Expect Strong Danish Results

30-07-2010 09:07 Better-than-expected results from Danish companies' foreign rivals have raised expectations for the many Danish half-yearly financial statements that are due to be published in the near future.

"The 'accounts from [Danish companies’] competitors are very telling at the moment” senior analyst Jacob Pedersen from Sydbank told Børsen. “We've seen very good accounts from some of Maersk's competitors, we have seen really good results from one of FLSchmidt’s competitors, and we have seen encouraging accounts from SAS's rivals.

Danske Bank equity strategist Morten Kongshaug was equally positive in his expectations.

"These companies are in a better position than investors expected,” he said. “Their ability to earn on existing sales has greatly improved. This means that they getting much more out of their labor force and capital than in the preceding seasons, while at the same time, sales also improved slightly”

Accounts from Denmark’s hard hit banks could also be better then expected, Kongshaug predicted.

"They are making good use of the very low central bank interest rates to earn money, and could be in much better shape than we had dared hope" he said.