UK profit warnings have hit their highest second quarter level since the financial crisis. Our analysis shows more companies warning – and more companies warning more than once. Why is this happening? More to the point, how can companies avoid profit warnings when the future is so becoming more unpredictable?
We’re taking stock four weeks on from the result of the EU Referendum. A great deal of water has passed under some political bridges; but in terms of BREXIT practicalities we’re not much the wiser and won’t be for some time. The eye of the storm is focused on those most exposed to the greatest … More 28 days later…
On Monday we got together with leading Corporate Development Officers (CDOs) to discuss their changing role in disrupted markets. In many ways, the challenges they face are familiar ones. CDOs have always contended with disrupted business models and decisions about where to position their company in the supply chain. What’s changed is the pace of … More CDOs talk disruption & deal making
What does the latest clutch of European earnings reports tell us? Revenues are under pressure and, whilst earnings are beating expectations, the bar was set very low. European companies still have a ways to go on improving their profitability and there’s certainly potential for all-round improvement. But in this low-growth, disrupted and polarized age, any … More The winner takes it all…
UK companies are still issuing a remarkable number of profit warnings, despite a substantial fall in earnings expectations at the end of 2015 – and the start of 2016. This week, we’ve picked out five things we learnt from this quarter’s profit warning data. We’re looking in particular at why some companies are still struggling … More Warnings within warnings
Why buy at negative yield? According to The Financial Times, the average yield across German government bonds fell to zero for the first time in its history last Monday. German bonds with a maturity of up to nine years are now trading at negative yields, with the benchmark 10-year trading just above zero at 0.13% … More Why buy at negative yield?
The bad news first: we start the second quarter with dark clouds gathering. The ECB has pulled out negative rates as its last available weapon to re-energise European economies. UK GDP growth forecasts have been revised downward again. Many companies are complaining of the most difficult trading conditions since the credit crisis. There’s talk of … More Defaults and dislocation
Disruption, disruption, disruption…. It’s a ubiquitous topic, but one that’s impossible to ignore. Companies are constantly being challenged by new entrants offering new products, new platforms, new experiences that could revolutionise their sector – or not. It’s a constant challenge trying to work out where to place bets in a rapidly changing world. One possible way … More Nothing ventured…
Global equities reached an eight week high this week. In the way this works now, this is partly because of some good news and also because of some bad news that becomes good news because it’s raised hopes for further/continued stimulus. While we all ponder how on earth we got into this confused state, here … More Hopes and fears in six charts
In March 2015 we discussed the opportunities and threats posed as $3t of global bonds traded with negative yields. Last week, that figure hit $6t – one third of the total market. Meanwhile, more central banks are talking or enacted NIRP – Negative Interest Rate Policy – raising some awkward questions. It’s tough to build … More Feeling negative – Take II