COMPANY NEWS IN BRIEF

Glencore sells stake in Russia's RussneftGlencore has sold out of Russneft, capping two decades of investments which saw the Swiss commodities firm trading millions of barrels of the Russian group's oil even as it witnessed some of Russia's top corporate and political battles.The sale, which has been years in the works since Glencore saw a top management reshuffle, was executed in December 2021 and will close in the first half of 2022 pending regulatory approvals, Glencore said.It coincides with some of the worst tensions between Moscow and the West since the end of the Cold War and as some Western firms seek to reduce exposure to Russian assets. Glencore gave no reason for the disposal and did not disclose the buyer or the value of the transaction.Russneft, which produces some 130 000 barrels per day, has faced tough times since its former owner Mikhail Gutseriyev was sanctioned by the European Union last year for close links with Belarussian President Alexander Lukashenko.Sanctions created difficulties for Russneft's export oil sales, with Glencore skipping purchases for several months. -ReutersNestle to post sales growthFood group Nestle is expected to post organic sales growth of 7.1% for 2021 on Thursday, almost twice as high as the year before thanks to strong demand for coffee and pet food, but high input costs will start taking a toll on profitability.Markets will focus on the guidance for this year, especially on the KitKat and Nescafe maker's ability to raise prices without endangering volume growth and market shares. The outlook for coffee, the petcare business and plant-based food that benefited during the pandemic will be scrutinised.Any indication the company could further reduce its stake in cosmetics group L'Oreal, maybe to finance a large acquisition, would also make headlines.Organic sales, which strip out currency swings and acquisitions, are expected to rise by 7.1% in the full year, including a 5.2% rise in volumes and a 1.8% increase in prices, according to a company-compiled consensus.The forecast implies a slowdown in the final quarter from the 7.6% growth rate seen in the first nine months. Under pressure from soaring costs for commodities, energy, transport and labour, Nestle's trading operating profit margin is expected to decline slightly to 16.7%, from 16.9% in 2020.-ReutersLouis Vuitton to raise price tagsLouis Vuitton, LVMH's top fashion brand, will raise prices globally as a result of increased manufacturing and transportation costs, a spokesperson for the French luxury goods company in China told Reuters.Louis Vuitton, the world's biggest luxury brand, will become one of the first big labels in the industry to hike prices widely this year to protect its margins as costs soar.The price increases will affect Louis Vuitton stores worldwide and cover leather goods, fashion accessories and perfumes, the spokesperson said on Tuesday. She did not give further details on the scale of the rises, beyond saying that they would vary depending on the product."The price adjustment takes into account changes in production costs, raw materials, transportation as well as inflation," the label said in a statement given to Reuters.Some bloggers on Chinese social media said the price of some models of handbags such as Capucines and Neverfull, now priced at 46,500 yuan (US$7 323) and 12 000 yuan (US$1 890) respectively, would rise by 20% or more in China, without citing sources. -ReutersYandex eyes US$6.5 bln annual revenue Russian internet giant Yandex on Tuesday reported a 55% drop in adjusted net profit last year, but said it expects total group revenues to continue their upward trajectory this year to 490 billion-500 billion roubles (US$6.50 billion-US$6.63 billion).Yandex's adjusted net income stood at 8 billion roubles in 2021, down 55% on a like-for-like basis including its Yandex. Market e-commerce venture.The company said annual profit was hit by investments in high-growth segments of the business, such as e-commerce and media services.Yandex's core advertising business, which accounted for 47% of total revenue in the fourth quarter, took a hit during the early stages of the Covid-19 pandemic, but surging interest in online transactions allowed its other businesses to flourish.The group expects its total e-commerce gross merchandise volume (GMV) to double in 2022, while GMV in its taxi segment, which includes ride-hailing and car-sharing, should reach 700 billion-720 billion roubles in 2022.-ReutersMarriott posts profitMarriott International Inc posted a quarterly profit on Tuesday, compared to a year-ago loss, as increasing vaccination rates and holiday-season traffic boosted occupancy rates across its hotels.Rising vaccination rates worldwide have given the pandemic-battered hotel industry some space to breathe, with customers returning to the comforts of luxury stays during the holiday season.Marriott has benefited from reopening of international borders and leniency in travel restrictions, especially in its prime North America and Europe markets."Each of our regions saw meaningful continued RevPAR recovery in the fourth quarter compared to the third quarter, with the exception of Greater China, where recovery stalled due to their zero COVID policy," Chief Executive Officer Anthony Capuano said.Occupancy in the JW Marriott and Ritz-Carlton owner's key US and Canada region stood at 60% in the fourth quarter, compared with 35.1% a year earlier. Occupancy in Greater China region was 54.1%. -Reuters

COMPANY NEWS IN BRIEF

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Namibian Sun 2025-07-01

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COMPANY NEWS IN BRIEF

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Namibian Sun 2025-07-01

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