Latest News
-
Bangladesh to switch from Airbus to Boeing for jets
Bangladesh is set to sign an agreement?on Thursday?to buy 14 'aircraft?from U.S. aircraft manufacturer Boeing, according to officials. This marks a departure from Europe's Airbus due to trade pressure from Washington. Officials have not disclosed the value of the agreement, which will provide Biman Bangladesh Airlines with a mixture of narrow-body and large-body aircraft as it looks to expand its capacity and modernise their fleet to meet the rising demand. An official of the aviation ministry, and a representative from Biman have confirmed that an agreement will be signed in Dhaka on Thursday night. The officials spoke under condition of anonymity as they were not authorized to speak to media. The aircraft will be delivered in phases. However, more technical and financial details have not been disclosed. Boeing did not respond immediately to a comment request outside of its normal business hours. The agreement brings to an end a long-running contest between Boeing's and Airbus's bids for Biman’s next big order. Both manufacturers were vying for greater presence on the growing South Asian aviation market. Bangladesh approved plans under the former government of Prime Minster Sheikh Hasina to purchase 10 aircraft from Airbus, even though no agreement was signed. After the fall of her government during the mass uprising in 2024, the interim administration changed its course to favour?Boeing. Officials stated that the decision was based on both fleet needs and larger trade considerations. Bangladesh is trying to reduce the pressure of a $6 billion trade deficit with the United States, and avoid tariff increases which could hurt its export-driven economy. The expansion of the fleet coincides with broader upgrades in Bangladesh's aviation industry, including a brand new terminal at Dhaka Airport, to handle the increasing passenger traffic, driven by a growing middle-class and a large number of overseas workers. Biman, a 54-year old company, has more than 20 aircraft in its fleet, mostly Boeings. More than half are wide-body planes. The company also owns a number Dash-8 turboprops.
-
Adani Ports in India sees its quarterly profit increase as cargo volumes rise
Adani Ports & SEZ, India's largest private operator by volume, posted a 10.5% increase in profit for the March quarter on Thursday. This was boosted largely by a rise in cargo volumes. The company reported a net profit for the third quarter of?33.29billion rupees ($350.03m), up from 30.14billion rupees one year earlier. Analysts say that disruptions in the Strait of Hormuz caused shippers to reroute their cargo. This has led to an increase in container volumes, transshipments, and'stopovers' at Adani Ports. The firm's ports business, which is its largest, saw a 30.5% increase in revenue, while its logistics division grew by 2%. This was mainly due to higher volumes of containerized and bulk cargo. The quarter saw a 13% increase in cargo volumes to 133.4 million metric tons, and a 26.5% increase in overall revenue.
-
Weir, a UK engineering company, has a quarterly decline in order intake
Weir Group announced a drop in 'first-quarter orders' on Thursday. This sent shares tumbling as much as 10% even as the engineering firm reaffirmed its annual guidance and promoted their head of the biggest business to CEO. Andrew Neilson, the president of the company's minerals division, will succeed Chief Executive Jon Stanton, who is heavily focused on the mining industry. The unit accounts for more than 71% of the total group revenue. This update is timely as the global demand for rare earth minerals, such as nickel, continues to increase. Other factors driving this are electric vehicles, grid expansion, renewable energy, and the growth of data centres linked to artificial intelligent. For the first quarter ending March 31, Weir reported that its total order intake had declined by 3%, following similar declines in its minerals unit. This sent shares down 7% to 2,560 pence at 0820 GMT. The company stated that phasing orders and some mine interruptions in Asia-Pacific?and Africa have affected the business. However, it is confident that?orders will?develop'very positively' throughout the year despite the potential impact of uncertainty related to the Iran War. The company stated that the rise in commodity prices, driven by the war, has boosted demand for expansions as well as underlying activity. The company continues to expect a mid-single digit organic revenue growth in 2026 and a 50 basis-point increase in operating margin. (Reporting from Neeshita Behra in Bengaluru, Writing by Pushkala Aripka; Editing by Sumana Dhaniwala and Mrigank Nandy)
-
DCC rejects a $6.66 billion offer to buy DCC, shares fall
Irish energy 'distributor DCC rejected a 4,95 billion-pound takeover offer from a consortium consisting of U.S. Investment firms KKR & Energy Capital Partners on?Thursday, claiming it undervalued its company. DCC shares, listed on the London Stock Exchange, fell 5% early in trading. Cash offer of 5,800 pence each share represents an 8% premium to DCC's closing price on Wednesday before the offer became public. KKR and?Energy?Capital partners did not respond immediately to requests for comments. According to British takeover regulations, the consortium has until June 10th to submit a firm offer or walk away. This is the latest attempt by private equity to acquire a UK listed company. Bidders are attracted by British or Irish companies' lower valuations. Beazley and Schroders?and Intertek are among the FTSE 100 companies that have received takeover bids in recent months. DCC distributes liquid gases, biofuels and renewable energy for businesses and households. It has simplified its operations in order to focus on the core energy business after divesting non-core assets such as healthcare and technology. RBC Capital Markets analysts stated in a note that they believe there is a high probability of a deal happening, but were unsure if it would be more than 10% above the current price. DCC shares fell?5.4% to 5,565 pence as of?0713 GMT. This valued the company at 4,75 billion pounds.
-
Air France-KLM's jet fuel bill to rise by $2.4 billion by 2026
Air France-KLM said that it expects to see its fuel bill increase by 2.4 billion US dollars in this year due to the disruption of the energy markets caused by the Iran War. It also downgraded the outlook for its capacity. Jet fuel accounts for more than one-third of airline costs. EasyJet, TUI and other European airlines have revised their forecasts since the Middle Eastern conflict began at the end February. Jet fuel hedges that they have taken out to protect themselves from price increases are no longer able to keep them safe, given the size of the spikes. CEO SAYS WORST IMPACT ?HAS YET TO BE FELT Air France-KLM's Chief Executive Ben Smith stated in a statement that while fuel price increases have not yet been reflected in today's results, they will?have a significant impact on the next quarters. The company stated that its total fuel was expected to be $9.3 billion dollars in the coming year, and 1.1 billion dollars of this would be in the second quarter. The company's first-quarter losses were smaller than expected due to strong bookings made before the Iran War and the preference of passengers for European airlines. It has lowered its expectations of group capacity from 2025 to an increase in this year between 2% and 4%. It had previously anticipated an increase between 3% and 5%. Analysts say that the reduction in capacity was smaller than anticipated. Bernstein analyst Alex Irving stated in a report that it was a reflection of "a strong earnings environment?and high demand?for travel". Air France-KLM has reported a 27-million-euro operating loss for the first quarter, compared to a projected loss of 389-million-euro by LSEG's analysts. This represents a 301-million-euro improvement over the?last year. Fuel price increases have not yet affected first quarter results. The airline said that it saw an initial increase in demand after the war with Iran, as more passengers chose European airlines for flights to Asia. As the conflict continues, the airline said that it would increase its capacity for long-haul flights, but at a smaller rate, as many people are delaying bookings due to concerns about the financial risks of such trips.
-
Air France-KLM revised capacity outlook due to geopolitical uncertainties
Air France-KLM reported a smaller loss in the first quarter than expected on Thursday, but it downgraded the outlook for its capacity on the basis that geopolitical uncertainties are linked to the U.S./Israeli war against Iran and the rising costs of jet fuel. EasyJet, TUI and other European airlines have revised their forecasts due to the shrinking jet fuel hedges. The airlines expect to feel the effects of the Strait of Hormuz closure more intensely in the next few months. Ben Smith, Air France-KLM's Chief Executive said that fuel price increases have not yet been reflected in today's results. However, they are expected to affect the next quarters. The company stated that its group capacity is now expected to increase by 2% - 4% in this year compared to 2025. Previously, it had expected a 3%-5% increase. It said that it expected a 2.80 billion euro (2.40 billion dollar) increase in fuel costs in 2026, compared to 2025. Air France-KLM has reported a loss of 27 millions euros ($31.55m) in the first quarter, compared to a?loss projected by LSEG of 389million euros ($454.51m). This represents a 301 million euro improvement compared to last year. Fuel price increases have not yet affected the first-quarter results. The company said that it had seen an initial surge in bookings for long-haul flights after the Iran 'war broke out, as travellers were choosing European airlines to fly to Asia. However, the expansion of its long-haul flight capacity would be more modest, as people are putting off travel plans and bookings closer to their travel dates, due to financial concerns. ($1 = 0.8559 euro) (Reporting and editing by Edmund Klamann; Joanna Plucinska)
-
Gulf crisis affects Australian and New Zealand companies, from airlines to banks
The U.S. and Israel war on Iran is causing financial stress for companies in Australia and New Zealand. Higher fuel prices are stoking inflation, reducing consumer and business confidence and weighing on corporate earnings. Below are some of the companies from Australia and New Zealand who have reported an impact on their business due to the Middle East conflict. Air New Zealand, New Zealand's flag carrier, announced that it would be raising fares in response to the volatility of jet fuel prices in early March. It was one of the first airlines to do so. The airline announced on April 7 that it would cut?flights throughout May and June. This will affect around 4% flights and 1% total passengers. Auckland International Airport, New Zealand: Flights from Auckland to the Middle East have been disrupted. In March, the number of passengers on Middle Eastern routes dropped by 81% and seat capacity fell by 73% compared to a year earlier, according to airport operator. New Zealand-based a2 Milk has cut its profit forecast for fiscal 2026 as higher freight costs and supply chain disruptions due to conflict have affected the availability of the China-label infant formula product on its largest market. Cleanaway Waste Management: The company has slashed the full-year forecast for operating earnings by approximately A$20,000,000 ($14.17million), due largely to higher costs, reduced activity, and differences in timing of cost recovery. Cochlear, an Australian manufacturer of hearing implants, has lowered its profit forecast for 2026 due to weaker trading on developed markets. The company cited slower "surgical volumes", fewer referrals for hearing aids, and a softer consumer mood. The company stated that the Middle East War has increased risks for order cancellations, delays in delivery, and a higher exposure to receivables. This, combined with worsening margins and restructuring costs, have led to a reduction of its 2026 profit forecast. Fletcher Building, New Zealand: Fletcher Building, New Zealand, said that it is indirectly exposed to the Middle East conflict through supply chains, freight lines, energy costs and the wider economic impact of construction demand in Australasia. Construction materials manufacturer expects to increase prices in all divisions as a result of passing on costs to its customers. Plastics, where the company claims immediate exposure is present, will be subject to price increases of up to 36%. Other divisions are expected to see a 1%-5% increase. Fonterra New Zealand, a dairy producer, said the conflict could impact its supply chain and increase its inventory and costs in second half of year. It also contributed to volatility in global commodities prices. National Australia Bank: National Australia Bank said it expected to incur credit impairment costs of A$706 (504.44 millions) during the first half fiscal 2026. NAB stated that the volatility of interest rates in the second quarter, the weaker New Zealand Dollar and the increase in provisioning would result in a reduction of the group's?common equity tier 1 capital rate by approximately 20 basis points on March 31. The company also plans to apply a discount of 1.5% to its dividend reinvestment program for the first half to raise A$1.8 billion and help strengthen its balance sheet. Orora Packaging Company: Orora has lowered its earnings forecasts for its French division Saverglass, and cancelled the share buyback program. The company cited the impact of war. Due to the closing of shipping routes, the company also stopped bottle production in its glass production plant at Ras al-Khaimah (United Arab Emirates). Qantas Airways: Qantas Airways is Australia's national carrier. It has raised its fuel costs outlook for the second part of the year up to A$800m and announced that it will not be starting its planned A$150m share buyback, citing the sharply higher jet fuel prices. Qantas has increased fares to offset the rising cost of its flights and is shifting them towards stronger routes, such as Paris and Rome?where demand is strong, and cut domestic capacity by approximately 5 percentage points during the June quarter. Qube Holdings : Qube anticipates that the Middle East conflict will have an impact on its EBITA of between A$10 and A$20 million in fiscal 2026. The logistics company said, however, that recent events could encourage an acceleration of investment in new projects involving alternative energy, which could prove beneficial for the firm. Virgin Australia: Virgin Australia expects fuel costs to increase by around A$30 to A$40 Million ($21.39 to $28.52 millions) in the second half fiscal 2026. In mid-March, the airlines announced that they were adjusting their fares due to the rising costs in the aviation industry. Westpac: Westpac, Australia's no. Westpac, Australia's no. Westpac's net margin for its Treasury and Markets division has been weakened due to interest rate volatility related to the conflict. A weaker outlook is already leading to higher credit provisioning. Westpac's provisioning of?potentially bad debt? is at its highest level since the COVID-19 Pandemic. Woolworths Woolworths is the largest Australian supermarket. It said that the Middle East conflict had created uncertainty for both customers and suppliers. This has exacerbated the already severe cost of living pressures. Fuel price pressures, customer retention investments and fuel price increases will all affect the firm's forecasted growth in domestic food segment earnings for fiscal 2026. Woolworths has also announced that it will freeze the prices of 300 household staples from May 1 for three months. This is due to cost pressures imposed by Australian suppliers, which are driving up prices across all supermarkets. Worley: Worley estimates that the negative impact of the Middle East conflict will be between A$30 and A$40 millions on its underlying EBITA in fiscal 2026. The Australian engineering company warned that it would not be able to grow its underlying EBITA by more than 5% in fiscal 2026 but aimed to increase revenue by more than 5% in fiscal 2025.
-
Russian drones struck Ukraine's Odesa over night, injuring 18, officials claim
Officials said that Russian drones had attacked Odesa, Ukraine's south city, overnight, for the second time in a week. They injured at least 18 people, and damaged residential buildings. Serhiylysak, head of local military administration, stated that the strikes caused the most damage in the central Prymorskyi District, where residential buildings with five stories and high-rises were damaged. Lysak, the head of the local military administration, said that large fires were started in upper floors as well as on a rooftop. These have since been put out. The number of injured is still subject to change, according to emergency services. Odesa is a major Black Sea Port and a focal point for Ukrainian exports. It has been repeatedly targeted by Russian attacks over the past four years of Russia's conflict. In a?attack that occurred on Monday, 14 people were injured. Ukraine's air force said that Russia launched 206 drones and one ballistic missile at the country between 6 pm (1500 GMT) Wednesday, 172 of which were neutralized or downed. It added that one missile and 32 drones were fired at 22 different locations. Lysak stated that a 17-year old boy was one of the injured, and two others were in serious condition?in intensive care. He also reported that an administrative building, a shopping center, and a hotel had been damaged. He posted pictures of a fire that was raging inside a building, with its upper floor being damaged. Flames and heavy smoke were also seen billowing out from the high-rise. He added that dozens of 'buses and vehicles have been damaged or destroyed at various parking areas. He said that in another district, there were strikes at warehouses, infrastructure buildings, and garage cooperatives. (Reporting and editing by Anna Pruchnicka.
Rolls-Royce UK confident about outlook despite Middle East disruption
Rolls-Royce, a British 'engineering' company, said that it would abide by its guidance to increase profits at least 16% in this year and be able to mitigate the disruptions caused by the Middle East war.
Rolls-Royce is the engine manufacturer for the Airbus A350 widebody jets and Boeing 787 widebody planes. This means that its airline customers were affected by the disruptions to air travel in the first weeks of the Iran War, which began in late February.
The air travel industry has recovered somewhat since the conflict, but airlines that pay 'Rolls' for the hours of flight they use its engines continue to face higher fuel costs as a result.
Rolls reported in its trading update of Thursday that Middle?Eastern carriers had recovered in terms of engine flying hours, with many engines returning to pre-conflict levels. Other regions also saw growth as carriers reallocated capacity.
Tufan Erginbilgic, chief executive of the company, said in a statement that they hoped to 'fully mitigate' the financial impact.
Rolls-Royce's power systems, which also run data centers, and its nuclear?power? and defence units are aiming for an operating profit of between 4 billion pound and 4.2 billion pound ($5.39-5.66 million) by 2026. $1 = 0.7427 pound (Reporting and editing by Paul Sandle).
(source: Reuters)