What Some Of The Largest Companies On OTC Markets Said In Their Most Recent Earnings Reports

This post is from Benzinga's Partner Content team

As August winds down, so too does the second quarter earnings season.

So, we thought we’d take a look at what some of the companies with securities that trade on OTC Markets had to say about their June quarters. For the sake of brevity—there are over 10,000 securities that trade on OTC Markets—we narrowed down our search to a few of the largest companies based on market cap on the OTCQX Best Market (all performance data is as of the August 28 close).

Roche Holding Ltd RHBBY

The Swiss pharmaceutical conglomerate had itself a stellar first half. Roche posted earnings per share of $11.38 during the first half of 2019, up 13% on a year-over-year basis, while revenue came in at $30.2 billion, an 8% YOY rise.

The earnings growth was led by strong sales of multiple sclerosis drug Ocrevus, hemophilia drug Hemlibra, and cancer drugs Tecentriq, Perjeta and Avastin. More importantly, the company raised its sales growth guidance from the low-to-mid single-digit range to the mid-to-high single-digit range and announced they expect to raise their dividend.

Shares of Roche are up 1% since their report on July 25.

Deutsche Telekom AG DTEGY

The German telecom company that owns 66% of T-Mobile reported earnings of $21.87 billion in the second quarter, up 7.1% YOY. Mobile customers also increased by 4% to 44.8 million.

In the U.S., revenue rose 5% to $11 billion, which the company stated was primarily due to 1.8 million new customers. Overall, the largest telecom in Germany said it had 83.1 million customers at the end of the quarter.

Shares of Deutsche Telekom are up 3% since the company reported on August 8.

adidas AG ADDYY

Adidas exceeded analysts’ earnings estimates for the second quarter, at $595 million vs. a previously stated $515 million estimate. Sales came in slightly below the $6.15 billion estimate at $6.11 billion.

In terms of individual markets, the big winner was China, with sales growing 14% on a year-over-year basis. That overtook the growth from North American (up 6%), Latin America (up 5%) and Russia (down 4%). It’s understandable then why CEO Kasper Rorsted also specifically cited the ongoing U.S.-China trade war as a concern on the conference call.

Shares of Adidas are down 5% since their report on August 8.

Heineken N.V. HEINY

In keeping with the trend from other beermakers, Heineken’s quarter was not nearly as good as investors were hoping for. Net profit was down 1.4% to $1.03 billion, and EPS fell 1.2% to $1.82.

Revenue for Europe’s most popular beer rose a mere 0.3% in the first half, far below the mid-single-digit range that had been expected. Executives blamed the weak numbers on poor weather and rising aluminum prices in Brazil, where the company sources its cans from.

Shares of Heineken are down 7% since their report on July 29.

BASF SE BASFY

BASF also cited the trade concerns as a headwind in its most recent report. The German chemical maker reported sales of 16.9 billion in the second quarter, down 4% from 2018, and earnings of $2.23 billion, down 27% YOY.

The company had also previously lowered its fiscal year sales growth guidance on July 8. While they had previously expected sales growth of 1-5% growth, they now expect a slight YOY decline in sales due to a global slowdown in industrial and chemical growth.

Shares of BASF are down 8% since their report on July 25.

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