Raphael Stevens

LVMH’s sponsorship deal took a year of negotiations and ultimately landed at about $160 million of investment from the parent company of brands like Loewe, TAG Heuer and Dom Perignon.
The partnership is on display throughout the 2024 Paris Olympic Games, which officially kicks off on Friday. 
“It’s not mainly to show the brands. It’s to show the spirit, the spirit of our group and the spirit of the country,” said Arnault. “We show the power of this country in the world.”

For the first time a luxury brand is an Olympic sponsor. And it’s not just one brand, it’s the empire of LVMH.
“We tried to find a way with the Olympic Committee – to be able to show maybe something that has never been done before with the Olympics,” LVMH Chairman and CEO Bernard Arnault told CNBC’s Andrew Ross Sorkin in an interview at Dior’s flagship store this week in Paris.

LVMH’s sponsorship deal took a year of negotiations and ultimately landed at about $160 million of investment from the parent company of brands like Celine, Louis Vuitton, Loewe, Tiffany, TAG Heuer and Dom Perignon.
The partnership is on display throughout the 2024 Paris Olympic Games, which officially kicks off on Friday. 
LVMH-owned Chaumet, whose Parisian roots date back to 1812, is the first jeweler in Olympic and Paralympic Game history to design the medals. Housing the medals are trunks made by LVMH brand Louis Vuitton. In the hospitality suites, the company’s Moët Hennessy wines and spirits will be served. French teams will wear uniforms designed by LVMH’s Berluti for the opening ceremony.
“It’s not mainly to show the brands. It’s to show the spirit, the spirit of our group and the spirit of the country,” said Arnault. “We show the power of this country in the world.”

Chairman & Chief Executive Officer of LVMH, Bernard Arnault attends the Viva Technology show at Parc des Expositions Porte de Versailles on May 23, 2024 in Paris, France. 
Chesnot | Getty Images

Arnault says sports is and will continue to be a key part of the company’s future. 

“We have been always close to sport, because sport has values that we share,” he said.

Luxury market under pressure

LVMH’s Olympic sponsorship comes at a time when consumers in the U.S. and Asia are under pressure.
The weakness of the Japanese Yen is sending coveted Chinese luxury shoppers flocking to Japan to buy LVMH goods at a discounted price.
 LVMH, seen as a bellwether for the luxury sector overall, led a selloff among global luxury stocks this week after its second-quarter sales came in under analyst expectations.

In its half-year report, LVMH reported sales in Japan up 57% for the second quarter, while the rest of Asia was down 14%.
“We are in a period where there is a lot of uncertainty on geopolitical grounds in the world, with some wars, some economic problems with inflation, with interest rates, and so on. But I am still quite optimistic long term,” said Arnault. “That trend midterm, will continue with ups and downs.”

Pre-Olympics lunch

On Thursday, French President Emmanuel Macron hosted a pre-Olympics lunch with executives from around the globe, including Arnault, Tesla CEO Elon Musk and Airbnb CEO Brian Chesky.
On CNBC’s “Squawk Box” Friday morning, Chesky told Sorkin one of the key topics of conversation at the lunch was the “changing nature of the economy probably powered by AI and robotics and what that is going to mean for the next generation.”
The lunch, hosted one day before the Opening Ceremony, is part of a broader effort by the Elysee to encourage investment in France, meanwhile uncertainty remains over the ruling government following the snap election in July.
Ahead of the lunch, Arnault told Sorkin the last time he and Musk had spoken, it was about an idea to put Louis Vuitton inside a rocket. 
“We have to think,” said Arnault. “I’m afraid he will ask me to go with him in the rocket.”
Disclosure: CNBC parent NBCUniversal owns NBC Sports and NBC Olympics. NBC Olympics is the U.S. broadcast rights holder to all Summer and Winter Games through 2032. More

Bristol Myers Squibb reported second-quarter earnings and revenue that topped expectations and raised its full-year guidance.
Revenue growth was primarily driven by the company’s blockbuster blood thinner Eliquis and a portfolio of drugs it expects to help it deliver long-term growth.
The results come as Bristol Myers moves to cut $1.5 billion in costs by 2025 and reinvest that money into key drug brands and research and development programs.

The Bristol Myers Squibb research and development center at Cambridge Crossing in Cambridge, Massachusetts, on Dec. 27, 2023.
Adam Glanzman | Bloomberg | Getty Images

Bristol Myers Squibb on Friday reported second-quarter earnings and revenue that topped expectations and raised its full-year guidance as the drugmaker moves to slash costs.
The pharmaceutical giant raised its full-year revenue forecast to an increase in the “upper end” of the low single-digit range. That compares to its previous guidance in April of a low single-digit increase in sales. 

The company also raised its 2024 adjusted earnings guidance to 60 cents to 90 cents per share, up from a previous forecast of 40 cents to 70 cents per share. 
Shares of Bristol Myers rose nearly 5% in premarket trading Friday following the results.
The results come as Bristol Myers moves to cut $1.5 billion in costs by 2025 and reinvest that money into key drug brands and research and development programs. In April, the company said that will involve laying off more than 2,000 employees, culling some drug programs and consolidating its sites, among other efforts. 
Here is what Bristol Myers reported for the second quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG: 

Earnings per share: $2.07 adjusted vs. loss of $1.63 expected
Revenue: $12.2 billion vs. $11.55 billion expected 

The pharmaceutical giant’s revenue rose 9% from the same period a year ago to $12.2 billion. 

Bristol Myers posted net income of $1.68 billion, or 83 cents per share, for the second quarter. That compares to net income of $2.07 billion, or 99 cents per share, for the year-earlier period. 
Excluding certain items, its adjusted earnings per share was $2.07 for the quarter. 
The second-quarter sales increase came primarily from the company’s blockbuster blood thinner Eliquis and a portfolio of drugs it expects to help it deliver long-term growth. Among those treatments is the cancer drug Opdivo, which raked in higher-than-expected sales for the quarter. 
Revenue from Bristol Myers’ blood cancer drug Revlimid also topped analysts’ estimates for the period despite facing competition from cheaper generics. 
The drugmaker faces pressure to launch new drugs and offset the loss of revenue from Revlimid and other top-selling treatments that will eventually lose exclusivity on the market, including Eliquis and Opdivo. 
Sales of Eliquis could also take a hit in 2026, when a new price for the drug goes into effect for certain Medicare patients following negotiations with the federal government. Those price talks, a key provision of President Joe Biden’s Inflation Reduction Act, will end at the beginning of August.

New drug portfolio, Eliquis post growth 

Eliquis booked $3.42 billion in sales for the quarter, up 7% from the year-ago period. That was in line with analysts’ expectations for the drug, according to estimates compiled by FactSet.
The blood thinner, which Bristol Myers shares with Pfizer, is expected to lose market exclusivity by 2028.

George Frey | Reuters

Revlimid took in $1.35 billion in sales, down 8% from the same period a year ago due to generic competition. Still, that surpassed analysts’ revenue expectations of $1.09 billion for the treatment, according to FactSet. 
Revenue from the company’s so-called “growth portfolio” was mainly driven by higher demand for Opdivo, which generated $2.39 billion in sales for the quarter. Analysts surveyed by FactSet had expected that treatment to bring in $2.29 billion in revenue. 
Anemia drug Reblozyl, advanced melanoma treatment Opdualag and Camzyos, a drug for a certain heart condition, also helped fuel the growth portfolio’s revenue during the second quarter. All three medications posted sales above analysts’ expectations, according to FactSet estimates. 
Meanwhile, Abecma, a cell therapy for a rare blood cancer called multiple myeloma, drew $95 million in sales for the quarter. Analysts had expected $95.8 million in revenue.  More

The 2025 Chevy Corvette ZR1 will be powered by a twin-turbocharged, 5.5-liter, V8 engine capable of more than 1,000 horsepower — a first for Corvette — and 828 foot-pounds of torque.
The ZR1 joins what GM is calling the “Corvette family,” leveraging the reputation of the quintessential American sports car to boost revenue and sales.
GM previously confirmed an all-electric Corvette is coming, but it hasn’t given a timeframe.
A Corvette SUV also has been under consideration for several years.

2025 Chevrolet Corvette ZR1 Coupe with ZTK Performance Package.

DETROIT — General Motors’ newest Chevrolet Corvette will be the most powerful version of the American sports car ever produced — and it’s not even close.
The Detroit automaker said Thursday the 2025 Chevy Corvette ZR1 will be powered by a twin-turbocharged, 5.5-liter, V8 engine capable of more than 1,000 horsepower — a first for Corvette — and 828 foot-pounds of torque, placing it among the ranks of supercars that can cost hundreds of thousands of dollars.

“This thing pulls like a freight train,” Tadge Juechter, Corvette’s executive chief engineer since 2006, said during a media event. “We expect this car to be essentially the fastest car we’ve ever built by a long measure.”
The prior most-powerful Corvette was GM’s last ZR1 for the 2019 model year. It produced 755 horsepower and 715 foot-pounds of torque with a 6.2-liter, V8 supercharged engine.

2025 Chevrolet Corvette ZR1 Coupe with ZTK Performance Package.

Juechter said the new ZR1 will “comfortably” have a top speed higher than the Corvette’s previous top speed of 212 mph.
GM said pricing for the 2025 Corvette ZR1, including an additional “ZTK” performance package, will be released closer to when the vehicle goes into production next year. The 2019 Corvette ZR1 started at $121,000.
The ZR1 joins what GM is calling the “Corvette family,” including the “everyman’s sports car” Corvette Stingray, which starts at about $70,000; the hybrid E-Ray; and the roughly $112,000 Z06 track car.

“We’re happy with the way it’s going. This is the next step in that whole approach,” said Brad Franz, director of Chevy car and crossover marketing.
GM previously confirmed an all-electric Corvette is coming, but it has not given a timeframe. A Corvette SUV also has been under consideration for several years. Franz declined to comment on either vehicle.

2025 Chevrolet Corvette ZR1 Coupe with ZTK Performance Package (left) and 2025 Chevrolet ZR1.

Wall Street analysts have said GM could better leverage the Corvette brand by expanding models and, to an extent, sales. In late 2019, Morgan Stanley analyst Adam Jonas said a Corvette sub-brand could be worth between $7 billion and $12 billion.
Sales of the Chevrolet Corvette have totaled roughly 34,500 vehicles for each of the past two years. In 2019, the automaker redefined the iconic sports car, swapping its front-engine design for a mid-engine build to increase performance and handling.
Models such as the ZR1 are low-volume vehicles designed to attract buzz to the brand and entice drivers toward less-expensive Corvettes.
“The ZR1 is the range-topper. It’s the halo vehicle. It’ll bring tons of attention to the car and actually help sell the other models,” Juechter said. “It’s part of the ongoing business strategy to keep the product relevant over a relatively long lifecycle.”

2025 Chevrolet Corvette ZR1

Other performance models have helped to lift Corvette’s average transaction price to roughly $106,000.
Franz said price point is expected to continue to rise with the introduction of ZR1 and sales growth of the track-focused Z06, whose average buyer has a household income of $311,000.
Additional sales of the hybrid Corvette, which starts at about $105,000, also should help boost Corvette’s revenue. GM plans to increase production of the E-Ray to 10% of total production capacity from current levels at 2% to 3% currently, Franz said.
The performance trickle-down effect also has assisted in keeping the sole plant that produces Corvette in Bowling Green, Kentucky, on two shifts since 2019.

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Boeing’s crew spacecraft Starliner will stay docked with the International Space Station into August, NASA confirmed on Thursday.
Starliner capsule “Calypso” has now been in space 50 days and counting.
NASA needs to complete a review tentatively planned for the first week of August before setting Starliner’s return date.

Boeing’s Starliner spacecraft is pictured docked to the International Space Station.

Boeing’s crew spacecraft Starliner will stay docked with the International Space Station into August, NASA confirmed on Thursday, as the mission remains on hold while the company and agency study problems that arose early in the flight.
Starliner capsule “Calypso,” which carried NASA astronauts Butch Wilmore and Suni Williams to the ISS, has now been in space 50 days and counting. The Boeing crew flight test has been extended several times while NASA conducted testing back on the ground prior to clearing the spacecraft to carry the pair of astronauts back to Earth.

NASA’s Commercial Crew manager Steve Stich said during a press conference Thursday that the agency was not prepared to set a return date.
“We’re making great progress, but we’re just not quite ready to do that,” Stich said.
NASA needs to conduct a review that won’t happen until the first week of August, Stich said, and only after that review will the agency schedule Starliner’s return.
The indefinite extension of Starliner’s flight test is difficult to put into context of other human spaceflights due to the unique circumstances and developmental nature of the mission. Any crewed spaceflight comes with heightened risk and scrutiny. Originally, Calypso was expected to spend a minimum of nine days in space before returning.
“I think we all knew that it was going to go longer than that. We didn’t spend a lot of time talking about how much longer, but I think it’s my regret that we we didn’t just say we’re going to stay up there until we get everything done that we want to go to do,” Boeing’s Mark Nappi, vice president of the Starliner program, said on Thursday.

Both NASA and Boeing leadership have repeatedly stressed that Wilmore and Williams “are not stranded in space.” Officials previously said that Starliner is safe to return in the event of an emergency and that the pair of astronauts are enjoying the extra time on the ISS and assisting the rest of the station’s crew with tasks in the meantime.

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Boeing and NASA earlier this month began testing the spacecraft’s malfunctioning propulsion system back on the ground in White Sands, New Mexico.
Stich and Nappi outlined the next steps that must be completed before making the call on when to bring back Starliner.
Boeing on Thursday is finishing dissection of the thruster that was tested in New Mexico. On Thursday afternoon, NASA and Boeing will hold a mission management meeting to plan the docked test firings that are expected to happen on Saturday or Sunday. Then, on Monday or Tuesday, the teams will do “an integrated assessment of all the data” from the docked tests, Stich said, before “some significant education of [NASA] leadership” ahead the final big review, also known as “Agency Flight Test Readiness Review.”
Stich also acknowledged again that NASA has contingency plans in case the agency determines that Starliner should return without Wilmore and Williams — alternatives that include using SpaceX’s Dragon capsule to bring back NASA’s astronauts.
“NASA always has contingency options. We know a little bit of what those are, and we haven’t worked on them a whole bunch, but we kind of know what those are,” Stich said. “Right now we’re really focused on bringing Butch and Suni home on Starliner.”

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Ford is leading a decline in major U.S. automotive stocks after missing Wall Street’s bottom-line earnings for the second quarter.
Shares of Ford closed Thursday at $11.16, down by 18.4% — marking the stock’s worst daily decline since 2008 and the second-worst performer of S&P 500 companies.
Shares of both General Motors and Stellantis were notably off as well after the companies reported their results this week.

A Ford Bronco on display at the New York International Auto Show on March 28, 2024. 
Danielle DeVries | CNBC

DETROIT — Ford Motor is leading a decline in major U.S. automotive stocks this week amid disappointing results and investor skepticism around future performance.
Shares of Ford closed Thursday at $11.16, down by 18.4% — marking the stock’s worst daily decline since 2008 and the second-worst performer of S&P 500 companies — after the company missed Wall Street’s bottom-line earnings expectations due to warranty problems, a recurring issue with the company.

Shares of General Motors and Stellantis were notably off as well after the companies reported their results this week. Shares of Tesla, which reported results Tuesday afternoon, increased 2% Thursday after their largest daily decline since 2020 on Wednesday.
The traditional “Detroit” automakers — Ford, GM and Stellantis — were punished partially due to industrywide uncertainty, but more so in response to individual issues.
GM closed Thursday at $44.13, down 5%. It’s off 8.6% this week. The company outperformed Wall Street’s expectations for the second quarter and increased its guidance for the year. Wall Street was impressed with the quarter, but investors balked at pullbacks in growth businesses, waning upside during the second half of the year, and fear that the automaker’s earnings power has peaked.
Stellantis reported “disappointing” first-half results, as described Thursday morning by CEO Carlos Tavares, largely due to ongoing issues in its North American operations.
NYSE-listed shares of Stellantis closed Thursday at $18.09, down 7.7%, and trading near a 52-week low set in August of $17.57 per share.

Stock chart icon

Stock performance of Ford, GM, Stellantis and Tesla amid earnings reports this week.

Despite the ongoing problems, Stellantis reconfirmed its 2024 guidance that includes a double-digit adjusted operating income margin, positive industrial free cash flow and at least 7.7 billion euros in capital return to investors in the forms of dividends and buybacks.
“This is a very tough industry, a very tough period and everybody has to fight for performance,” Tavares said. “We will have to work hard to deliver that performance.”
Ford executives made similar comments when reconfirming its 2024 guidance despite it coming in a whopping 21 cents below adjusted earnings per share expectations. The automaker reported an additional $800 million in unexpected warranty costs compared with the prior quarter.
Ford’s 2024 guidance includes adjusted earnings before interest and taxes, or EBIT, of between $10 billion and $12 billion.
Several Wall Street analysts voiced frustration over Ford’s reemerging warranty costs, but many were still optimistic about the company’s underlying business operations.
Most notably, Morgan Stanley’s Adam Jonas kept Ford as the firm’s “top pick,” while downgrading GM from overweight to equal weight — despite the Detroit automaker’s standout quarter.
“Impressive results considering large losses in EVs, Cruise and China. History suggests the good times won’t last,” Jonas said Tuesday in a GM investor note.
Jonas said the firm sees more potential upside in Ford, “albeit our conviction is being tested by continued challenges … many of which we believe are within management’s control.”
Shares of U.S. EV leader Tesla closed down 12% on Wednesday after the electric vehicle maker reported weaker-than-expected quarterly earnings and another drop in automotive revenue. The stock is off 10.7% in 2024, including a 7.9% decline this week through Thursday’s close.
— CNBC’s Michael Bloom and Lora Kolodny contributed to this report. More

Disney and Marvel’s “Deadpool & Wolverine” is expected to tally between $160 million and $180 million at the domestic box office during its debut.
The film is set to break numerous records during its opening weekend, including the highest opening of 2024 and for any R-rated film ever.
“Deadpool & Wolverine” also marks the first time an MCU film has garnered an R-rating from the Motion Picture Association.

Ryan Reynolds and Hugh Jackman star in Marvel’s “Deadpool & Wolverine.”

The “Merc with a Mouth” returns to the big screen this weekend, and he is doing more than bringing an R-rating to Disney’s Marvel Cinematic Universe.
“Deadpool & Wolverine,” the third stand-alone feature starring Ryan Reynolds as the regenerating degenerate, is expected to tally between $160 million and $180 million at the domestic box office during its debut.

The film is already the best ticket preseller of 2024, according to Fandango, and it is set to break numerous records during its opening weekend. Those marks include the highest domestic opening of 2024 and the biggest debut ever for an R-rated film.
Disney and Pixar’s “Inside Out 2” is currently the highest opener of the year at $154.2 million and the first “Deadpool” film’s $132.4 million debut is the highest for any R-rated feature, according to data from Comscore.
“I think no question this is going to open as the largest R-rated movie of all time,” said Mike Bowers, president and CEO of Harkins Theatres, a theater chain based in Arizona. “And it’s already one of the top presale movies historically for us.”

Deadpool at the box office

“Deadpool” (2016)

Opening: $132.4 million
Global gross: $782.6 million

“Deadpool 2” (2018)

Opening: $125.5 million
Global gross: 786.3 million

Source: Comscore

“Deadpool & Wolverine” is the 34th film to be released under the MCU banner and the first to garner an R-rating from the Motion Picture Association. The previous two Deadpool films, both rated R, were produced and released through 20th Century Fox. Disney acquired the company in 2019, bringing the X-Men and Fantastic Four back into the larger Marvel portfolio.
Similar to previous entries in the MCU, “Deadpool & Wolverine” is benefiting from fan fervor. Audiences are eager to see the flick in its opening weekend in order to avoid spoilers. Disney has kept much of the film’s content secret and provided limited press screenings prior to its debut.
Bowers expects audiences will keep coming back for more in the weeks after the film’s opening.
“This is a film that there’s so much happening, so many jokes and funny sequences that no one’s gonna be able to eat just one, you know, they’re gonna be back,” he said.
Ellis Jacob, president and CEO of Cineplex, the largest movie theater chain in Canada, echoed Bower’s thoughts. Jacob said “Deadpool & Wolverine” is filled with Easter eggs and audiences will return to try and see them all.
He also noted that many of those moviegoers are buying tickets for premium screenings, such as IMAX, Dolby and ScreenX, which come at higher prices.
Marvel has also collaborated with movie theaters to license merchandise such as collectible popcorn buckets and drink containers that cinema operators expect will sell quickly. Concessions have always been the biggest money maker for theaters, and having limited-edition items can drive even higher food and beverage sales.
Of course, “Deadpool & Wolverine” is also an important release for the overall Marvel Cinematic Universe. Disney has “eased off the gas pedal” and planned fewer releases in the series that drove the global box office for more than a decade, said Shawn Robbins, founder and owner of Box Office Theory. He said Disney is trying to right the ship after a series of theatrical missteps and poor box office hauls, as well as a deluge of streaming content that overcrowded the market and overwhelmed even the MCU’s biggest fans.
“Ultimately, as much as this is a Marvel movie, it may be viewed equally as a midsummer action comedy that stars personalities and brands that die-hard fans and casual viewers love,” said Robbins. “Reynolds and Jackman are a grand slam duo given their respective pop culture presences and friendly back-and-forth across social media and interviews. There’s also a genuine curiosity about how the MCU’s first R-rated film will play out and hold to the qualities which made the first two Deadpool films and [Jackman’s 2017 Wolverine film] ‘Logan’ so popular.”

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Toy company Hasbro beat Wall Street expectations for the second quarter on Thursday, thanks in part to growth in its digital gaming segment.
Hasbro reported a net income of $138.5 million, a significant gain from the same quarter last year, when it reported a net loss of $234.9 million.
CEO Chris Cocks said during the company’s earnings call that it’s going “all in” on digital gaming.

Hasbro board games are seen for sale at a Target store on December 12, 2023 in Austin, Texas. 
Brandon Bell | Getty Images

Toy company Hasbro beat Wall Street expectations for the second quarter on Thursday, thanks in part to growth in its digital gaming segment.
Shares of the company jumped more than 3% in afternoon trading.

Here’s how Hasbro performed in the quarter ended June 30 compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:

Earnings per share: $1.22 adjusted vs. 78 cents expected
Revenue: $995 million vs. $944 million expected

Hasbro reported net income of $138.5 million, or 99 cents per share, for the quarter. That marked a significant gain from the same quarter last year, when the company reported a net loss of $235 million, or $1.69 per share.
Though Hasbro’s revenue declined 18% overall for the quarter, its Wizards of the Coast and digital gaming segment saw 20% revenue growth. This partially offset a drop in consumer product revenue of 20%, as well as a decline in the company’s entertainment segment of 90%, driven by the divestiture of production studio eOne.
Hasbro attributed the revenue increase for Wizards of the Coast and digital gaming to the launch of Magic’s card game, Modern Horizons 3, and the continued impact of licensed and digital gaming, with Monopoly Go! leading along with Baldur’s Gate 3.
CEO Chris Cocks said during the company’s earnings call that it continues to invest in its digital gaming portfolio, highlighting the recent appointment of John Hight as president of Wizards of the Coast and digital gaming.

“Between our board move and talent we brought on board, most recently with John … we’re going all in on becoming a digital play company,” Cocks said.
Hasbro anticipates further revenue declines for the full year, with consumer product revenue projected to be down 7% to 11% and Wizards of the Coast revenue anticipated to be down 1% to 3%.
The company estimates a total adjusted EBITDA for the full year of between $975 million and $1.025 billion. Hasbro also expects to cut costs by $750 million by the end of 2025.

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