Shares in EADS (Paris: NL0000235190 - news) rise 1.8 percent in brisk volumes after the European aerospace group posts a sharp rise in core profit, eclipsing figures showing it had consumed a significant quantity of cash to boost inventories for new projects.
"Good figures mainly due to research and development and Airbus operational performance," a Paris-based trader says.
"However, negative free cash flow figures may disappoint but it is tempered by EADS' maintaining its guidance for the year of a break-even free cash flow. We believe this free cash flow figure is a one-off due to a seasonal effect."
After 30 minutes of trading, volumes on the shares already represent about a quarter of the stock's average daily volume of the past three months, compared with 10 percent for the CAC 40 (Paris: ^FCHI - news) index.
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Reuters Messaging: blaise.robinson.thomsonreuters.com@reuters.net
