Overall, analysts expect earnings at STOXX 600 firms to have fallen 19.9% in the fourth quarter, steeper than the 18.2% estimate issued last week, according to Refinitiv data. Still, earnings are expected to rebound nearly 43% in the first quarter.
The STOXX 600 index fell 0.2%, after gaining nearly 4% so far this month against the backdrop of steady vaccine roll-outs globally and expectations that a massive stimulus package will soon be passed by US lawmakers.
The pan-European STOXX 600 index finished up 1.2% on broad-based gains, recovering from a more than 2% slide in the previous session, which was also its biggest one-day drop in nearly two months.
Dutch health technology firm Philips rose 1.3pc after it agreed to buy U.S. cardiac diagnostics and monitoring firm BioTelemetry in a deal worth $2.8 billion.