operating profit

The $5 trillion AI boom could both succeed and fizzle

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The $5 trillion AI boom could both succeed and fizzle

Investors are pouring billions of dollars into AI companies, with the market capitalization of major tech giants increasing significantly since the release of ChatGPT in November 2022. However, the income generated by AI remains relatively small compared to the investments being made. The promise of future riches has led to forecasts of up to trillion needed for advanced semiconductors, data centers, and power to train and run AI models. Similar investment booms have occurred in the past with industries like railways and telecom, but they often resulted in financial disappointment for investors. The AI boom also comes with risks such as the short lifespan of AI models, potential commoditization of advances, and government regulations that could limit profits.

Sony shares leap 12 per cent on buyback and dividend plans, higher profit outlook

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Sony shares leap 12 per cent on buyback and dividend plans, higher profit outlook

Shares in Sony Group jumped 12 per cent after pledging to boost shareholder returns and forecasting higher annual profit with a boost from its image sensors business. Sony will spend up to 250 billion yen on a share buyback and gradually increase dividends with a target of a 40 per cent total payout ratio by the financial year ending March 2027. Sony will allocate 1.8 trillion yen over the next three years to growth investments and share repurchases. Sony also plans to conduct a five-for-one stock split to expand its investor base.

Eurobank Group reports robust first quarter results

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Eurobank Group reports robust first quarter results

Eurobank Holdings released its financial results for the first quarter of 2024, showing significant growth and robust performance. Adjusted net profits in Cyprus and Bulgaria improved substantially, with Cyprus reaching €92 million.

Weak demand, new model ramp up hit Europe, ’s top automakers

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Weak demand, new model ramp up hit Europe, ’s top automakers

European car giants Volkswagen, Mercedes-Benz, and Stellantis all posted lower sales and first-quarter revenue due to higher costs, weaker demand for new cars, and the upcoming launch of new models.

Samsung says AI to drive technology demand in second half after strong Q1

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Samsung says AI to drive technology demand in second half after strong Q1

Samsung Electronics forecasts strong demand for artificial intelligence and plans to increase supply of high-end chips such as HBM chips for AI applications. Samsung reported a more than 10-fold rise in first-quarter operating profit and aims to capitalize on the AI boom by increasing production of HBM chips. The company also plans to offer high-end SSD products to meet AI server demand.

Corporate Taxes Before and After the Trump Tax Law

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Corporate Taxes Before and After the Trump Tax Law

– America’s largest, consistently profitable corporations saw their effective tax rates fall from an average of 22.0 percent to an average of 12.8 percent after the Trump tax law went into effect in 2017.
– The 296 largest and consistently profitable U.S. corporations paid 0 billion less in taxes from 2018 to 2021 compared to before the Trump tax law.
– While profits for these corporations rose by 44 percent after the Trump tax law, their federal tax bills dropped by 16 percent.
– The number of corporations paying tax rates of less than 10 percent increased from 56 to 95 after the Trump tax law.
– Many well-known corporations, including Walmart, Verizon, Disney, and Meta, had the largest tax reductions after the Trump tax law.

Malaysia, OCI’s base to beat Chinese polysilicon rivals – KED Global

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Malaysia, OCI’s base to beat Chinese polysilicon rivals - KED Global

OCI Group is expanding its polysilicon facility in Malaysia to compete with Chinese rivals, taking advantage of low utility bills, labor costs, and taxes in the country. The company plans to increase its manufacturing capacity of solar-grade polysilicon to 56,000 tons a year by 2027. Malaysia offers benefits such as lower electricity costs, corporate taxes, and labor costs compared to South Korea. OCIM has also benefited from US sanctions on Chinese polysilicon.

Heineken sells more beer in first quarter, sticks to outlook

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Heineken sells more beer in first quarter, sticks to outlook

Heineken sold more beer than expected in the first quarter, reporting its first year-on-year growth in quarterly volumes in a year.

Samsung Electronics, SK hynix Report Zero Corporate Taxes – Here’s Why

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Samsung Electronics, SK hynix Report Zero Corporate Taxes – Here’s Why

Samsung Electronics and SK hynix did not pay corporate taxes last year due to operating losses caused by the semiconductor industry downturn.

Fashion retailer H&M beats expectations in spring recovery

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Fashion retailer H&M beats expectations in spring recovery

H&M beat first-quarter operating profit expectations with an operating profit of 2.08 billion crowns, up from 725 million. Sales at the start of its second quarter rose by 2 per cent. CEO Daniel Erver stated that the quarter’s sales improved with well-received spring collections, and their top priority is to strengthen sales. H&M plans to refurbish around 250 stores this year, open around 100 new stores, and close 160 stores.