In the USA, that were the banks who started the upward trend in the season of quarterly results. In Poland, it probably won’t happen although financial institutions are not going to disappoint. Chemical industry with PGNiG and big construction companies should make it quite well. Retailers won’t surprise probably while homebuilding companies will present results below expectations.
The construction sector had a tough quarter.
„The homebuilding sector is in something more serious than just a temporary slowdown. The companies are selling fewer and fewer flats. The division into stronger and weaker branches will start among construction companies. Elektrotim or TIM face a slowdown. Infrastrucural and specialist companies, including Elektrobudowa, Polimex or Energomontaż-Polnoc may report good results”, Michal Sztabler, DM PKO BP analyst believed.
It’s hard to be optimistic about the food sector. The subindex of listed food producers has fallen deeper than WIG.
„I would not expect great results in this sector. Very few companies may surprise with good results. Consumption is decreasing. Strengthening zloty adversely affects the companies which export a lot. Increasing labor costs are another negative factor. As far as weather conditions are concerned, beverage producers should present good results. Sweet producers may make it a little bit worse. I would expect improvement of PKP Duda due to growing meat prices. But it won’t be substantial because exports are not that profitable any longer”, Dorora Puchlew from ING commented.
The chemical and fuel sectors may bring a nice surprise to investors. High oil prices disturb chemical producers but support fuel companies.
„However, chemical companies reacted to higher prices with increases of fertilizer prices. Here, again, income may grow substantially, including 160 percent increase at Pulawy. Companies basing on petrochemicals, including Synthos, may have troubles. It will be hard to repeat last year’s results despite the fact that capacity was doubled. Ciech is in a better position, mainly thanks to diversification. The operating result may be similar to last year’s while the net income may be lower due to costs of credits and exchange rates. We expect record results at refineries because of high oil prices. PGNiG should improve results by over 10 percent”, Kamil Kliszcz, DI BRE Bank analyst believed.
Analysts believe that retailers will present quite good results, banks won’t
disappoint although their results will be slightly lower than a year ago and the
IT sector won’t see a breakthrough.