Several major European companies reported stronger-than-expected first-quarter earnings, with pharmaceutical and financial services firms leading the gains.

AstraZeneca reported increases in both revenue and core earnings for the first quarter, driven by growing sales of its cancer and rare-disease drug portfolios. The British pharmaceutical company beat both top-line and bottom-line analyst estimates and reaffirmed its outlook through 2026.

In the financial sector, UBS saw net profit climb during the quarter, boosted by strong performance from its investment banking and wealth management divisions. The Swiss bank said it remains on track to meet its 2026 objectives as it nears completion of its Credit Suisse integration. Meanwhile, Lloyds Banking Group posted £2.025 billion ($2.74 billion) in pretax profit for the first quarter, benefiting from loan growth.

The automotive sector showed mixed results. LG Electronics returned to profitability in the first quarter after posting a loss in the previous quarter, signaling resilient growth. However, Geely Automobile, China's second-largest electric vehicle maker, reported a weaker bottom line despite record sales and higher revenue, with currency effects impacting profits. The company did see its new energy vehicle international sales surge 100% year-over-year.

Mercedes-Benz Group also beat bottom-line estimates and reaffirmed its full-year 2026 outlook. GSK, another pharmaceutical company, similarly beat both revenue and profit estimates while maintaining its guidance through 2026 and 2031.