LONDON: European companies are expected to report a 43.5% jump in first quarter earnings, according to Refinitiv I/B/E/S data, despite strict lockdowns in many countries to fight a second COVID-19 wave.

Estimates for the first quarter -- relating to companies listed on the STOXX 600 equity benchmark -- slightly increased compared to last week.

For the fourth quarter of 2020, analysts expect a 26.2% drop in earnings, largely unchanged from last week.

European earnings fell 24.7% and 50.8% respectively in the third and second quarters of 2020, according to Refinitiv I/B/E/S.