Europe close: Stocks finish higher after another dump of earnings

European stocks finished in the green on Friday, as investors sifted through more earnings releases and digested US GDP data for the second quarter.

The benchmark Stoxx Europe 600 index was up 0.4% to 392.08, Germany's DAX was 0.4% firmer at 12,860.40, and France's CAC 40 was up 0.57% at 5,511.76.

Data released earlier showed that real GDP in France increased 0.2% quarter-on-quarter in the second quarter, below consensus expectations for a 0.3% rise.

On the year, GDP slipped to 1.7% from 2.2% in the first quarter, missing expectations of 1.9%.

Pantheon Macroeconomics economist Claus Vistesen said the French economy slowed to crawl in the first half of 2018.

"A 0.1% quarter-on-quarter fall in consumers’ spending was the primary driver of the sluggish headline in Q2, mainly due to declines in spending on food, energy and services.

“Utility spending was hit due to warmer than usual temperatures in April, and in services a big drop in transport expenses, due to strikes, was the main culprit," he said.

“Both should mean revert in Q3."

US economic growth accelerated to an annual rate of 4.1% during the second quarter, compared with a revised 2.2% in the first quarter, the Commerce Department said on Friday.

The second quarter gain, the fastest rate of growth in almost four years, fell just short of the 4.2% rate predicted by economists.

The trade sector boosted GDP, however, this was offset by a downturn in inventory investment.

Real final sales for domestic purchasers, excluding trade and inventories, rose 3.9% after a 1.9% gain in the prior quarter.

In corporate news, Carrefour surged 12.01% as its first-half results came in better than feared, while Engie gained 2.46% despite saying that first-half net profit declined.

Danone rose 2.997% after the French food group said sales growth slowed in the second quarter but posted a jump in first-half operating profit.

Axel Springer racked up strong gains of 2.66% as it backed its full-year guidance and said profit and revenue for the first half increased, while LafargeHolcim pushed up 2.6% despite posting a 43% drop in first-half profit.

Renault ticked 1.87% higher as the French car maker reported record levels of profitability in the first half.

In London, consumer goods giant Reckitt Benckiser, education publisher Pearson and telecoms company BT rose 7.91%, 3.64% and 4.96% respectively, on the back of well-received results.

On the downside, Italy's Eni slipped 0.67% as the company's second-quarter profit missed expectations, while Siemens Gamesa lost 3.72% after reporting a rise in third-quarter net profit but a drop in revenue.

Gucci and YSL parent Kering slid 7.72% as second-quarter sales growth at Gucci missed analysts' expectations, while Spain's BBVA rose 1.21% after seeing an 18% increase in second-quarter net profit.

BASF dropped 2.69% even as it confirmed its outlook for 2018, as it said economic risks had increased significantly on the back of trade tensions.