The charity founded by Britain’s Prince Charles says it’s not accepting any more donations from Huawei, the latest setback for the Chinese telecom giant as it battles allegations it’s a cybersecurity risk and more in Thursday’s Market In Brief.
The Prince’s Trust said in a statement Thursday that, “At present, we are not accepting new donations from Huawei in light of public concerns.”
The trust, which was established in 1976 to help disadvantaged young people, said any future donations will be reviewed by its ethical fundraising committee.
Huawei said it was disappointed with the move.
It said: “We regret that decisions of this sort are being taken as a result of ill-informed and unfounded discourse about Huawei.”
Last week, Oxford University said it was suspending research grants and donations from Huawei.
MARKETS IN BRIEF
Applications for US Unemployment Aid Fall to 49-Year Low
The number of people seeking jobless benefits dropped last week to the lowest level since November 1969, a sign the job market remains strong despite the partial government shutdown, now in its fifth week.
The Labor Department said Thursday that weekly applications for unemployment aid declined 13,000 to a seasonally adjusted 199,000. The four-week average, a less volatile figure, dropped 5,500 to 215,000.
The tally of furloughed federal employees requesting unemployment aid jumped to 25,419, more than double the previous week. Those figures are tracked separately from other unemployment claims.
Weekly applications for jobless aid are a proxy for layoffs. The data suggests employers are confident enough about the economy to hold onto their workers. The Labor Department was funded before the shutdown and is still releasing its weekly report.
Digital Media Company BuzzFeed Cutting 15 Percent of Jobs
Digital media company BuzzFeed is cutting 15 percent of its jobs, or about 200 people, to trim costs and become profitable.
BuzzFeed CEO Jonah Peretti wrote employees Wednesday that the layoffs will help BuzzFeed avoid having to raise money from investors again.
The privately held company has not been profitable for several years. It has raised hundreds of millions from such investors as Comcast’s NBCUniversal.
The New York company is best known for its viral posts and quizzes and has a well-regarded news division.
Many digital media companies have cut jobs or sold off in recent years as Facebook and Google gobble up the bulk of digital advertising dollars. Verizon also said Wednesday that it is cutting about 800 jobs in its media division, which includes Yahoo and HuffPost.
Ford Posts Quarterly Loss Amid Struggles in Europe, China
Ford Motor Co. has reported its first quarterly loss in two years due to a pension accounting charge and poor performances in Europe and China.
The Dearborn, Michigan, company on Wednesday said it lost $116 million, or 3 cents a share, in the fourth quarter compared with a $2.52 billion profit in the same period a year earlier.
The loss included an $877 million charge to revalue pension assets due a late-year market slide.
Excluding one-time items, the company posted a profit of 30 cents per share. That fell just short of analyst estimates of a profit of 31 cents.
The company still made $3.68 billion for the full year. That means U.S. unionized workers will get profit-sharing checks of $7,600 in March.
Strong Pricing, Volume Growth, Power Union Pacific in 4Q
Union Pacific is putting up strong fourth-quarter numbers thanks to growing volume and solid pricing.
The railroad reported net income of $1.55 billion, or $2.12 per share. That’s 6 cents better than expected, according to a survey by Zacks Investment Research.
Revenue was $5.76 billion, also edging out expectations.
Shares of Union Pacific Corp., based in Omaha, Nebraska, are up 4 percent before the opening bell.
Southwest Air 4Q Earnings Top Estimates
Southwest Airlines Co. says it earned record results in the latest quarter, helped by higher revenue and strong yields.
The Dallas-based company said Thursday it earned $654 million, or $1.17 per share, the last three months of the year.
The results beat Wall Street expectations. The average estimate of 12 analysts surveyed by Zacks Investment Research was for earnings of $1.06 per share.
The airline’s revenue was $5.7 billion in the period, also beating Street forecasts. Eleven analysts expected $5.68 billion.
Looking ahead, Southwest Air expects a strong first quarter, citing strong passenger demand.
Shares rose 5.2 percent in premarket trading.
JetBlue: 4Q Earnings Snapshot
JetBlue Airways Corp. (JBLU) on Thursday reported fourth-quarter earnings of $169 million.
The New York-based company said it had net income of 55 cents per share. Earnings, adjusted for pretax gains, came to 50 cents per share.
The results exceeded Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment Research was for earnings of 42 cents per share.
The airline posted revenue of $1.97 billion in the period, which met Street forecasts.
For the year, the company reported profit of $188 million, or 60 cents per share. Revenue was reported as $7.66 billion.
JetBlue shares have increased slightly more than 7 percent since the beginning of the year. The stock has decreased 23 percent in the last 12 months.
American Airlines Puts up Strong Profit in 4Q
American Airlines reporting better than expected profit for the fourth-quarter.
The world’s largest airline on Thursday posted net income of earnings of $319 million, or 69 cents per share. Earnings, adjusted for non-recurring costs, came to $1.04 per share, or 2 cents better than expected, according to a poll by Zacks Investment Research.
Revenue was $10.94 billion, just short of the $11.01 billion Wall Street was looking for.
American Airlines Group Inc., based in Fort Worth, Texas, expects full-year earnings in the range of $5.50 to $7.50 per share.
Shares are up 5 percent before the opening bell.
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