Coke Warns of Q2 Hit From Virus Lockdowns

Coca-Cola is bracing for a significant hit to sales in the current quarter as coronavirus lockdowns force consumers to stay away from venues such as movie theaters, restaurants, and sports arenas that sell its products.The soda giant said Tuesday that it saw “significant changes in consumer purch...

By Matthew Heller • April 21, 2020

United Posts $2.1B Loss, Expects Worse Ahead

United Airlines said Monday it lost $2.1 billion in the first quarter and previewed what could be even worse numbers to come with the collapse in travel demand due to the coronavirus pandemic.In a regulatory filing, the company preliminarily reported what is its biggest loss since 2008 and that r...

By Matthew Heller • April 20, 2020

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Tax policy shifts: What CFOs need to know to stay ahead

Discover how evolving tax policies are creating new opportunities and challenges for CFOs.

By CFO.com staff

P&G Sales Surge 6% on Home Products Demand

Procter & Gamble reported its biggest U.S. sales gain in decades on Friday amid increased demand for household staples ranging from toilet paper to laundry detergent due to coronavirus lockdowns.P&G’s organic sales increased 10% in the U.S. in the third quarter and 6% overall, with its bu...

By Matthew Heller • April 17, 2020

Yuma Energy Files for Bankruptcy, Plans to Liquidate

Yuma Energy has filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the Northern District of Texas. The company said its cash position deteriorated in the first quarter of 2020 and its cash flow from operations was no longer sufficient to cover its operating costs.It was s...

By Lauren Muskett • April 17, 2020

Goldman Profit Dives on Big Investment Losses

Goldman Sachs reported a 46% drop in first-quarter profit as losses from its investment portfolio amid the coronavirus-driven downturn overshadowed the strong performance of its trading division.The bank’s profit fell to $1.21 billion, or $3.11 a share, from $2.25 billion a year ago. Revenue of $...

By Matthew Heller • April 16, 2020

Roku Shares Surge as Lockdowns Boost Revenue

Shares in Roku jumped in after-hours trading on Monday after the streaming device maker predicted first-quarter revenue above analysts’ estimates as Americans stay home for their entertainment amid coronavirus lockdowns.Roku said that in late Q1, it “started to see the effects of large numbers of...

By Matthew Heller • April 14, 2020

SOX 404 Exemption Pushes Small Companies to Incur Debt: Study

For some years now, growing corporate debt has evoked much headshaking among financial observers, who have described it in terms ranging from “big concern” to “unexploded bomb,” and who now see its hazards greatly increased by the economic effects of the COVID-19 pandemic.While extremely low inte...

By Vincent Ryan • April 14, 2020

CFOs Respond Rapidly to Pandemic

How much damage will the coronavirus outbreak and the accompanying economic downturn do to companies’ sales? In a special CFO Research survey, more than half (53%) of U.S. finance executives responding said they estimated a drop of between 1% and 20% in the first quarter. But about 29% of finance...

By Vincent Ryan • April 13, 2020

SoftBank Group Warns of Big Losses

SoftBank announced it was expecting to record an operating loss of 1.35 trillion yen ($12.5 billion) for the fiscal year ended March 31, 2020, citing a collapse in the value of its flagship tech investments.The company’s $100 billion Vision Fund is expected to lose $16.7 billion.SoftBank Group re...

By Lauren Muskett • April 13, 2020

Ford Expects Loss But Says Cash Position Strong

Ford Motor said Monday it expects to lose $600 million in the first quarter but has enough cash to see it through at least the next six months even if it can’t produce vehicles due to the coronavirus shutdown.The automaker detailed the impact of the virus in a preliminary release of its first-qua...

By Matthew Heller • April 13, 2020

Ironclad Execs Accused of $6M Accounting Fraud

Three former executives of Ironclad Performance have been charged with inflating the work glove maker’s revenues by improperly recognizing more than $6 million in revenue.The U.S. Securities and Exchange Commission said CEO Jeffrey Cordes, CFO William Aisenberg, and Senior VP Thomas Felton used m...

By Matthew Heller • April 9, 2020

Starbucks Shares Fall as Q2 Earnings Halve Amid Pandemic

Starbucks announced Wednesday that its second-quarter earnings could fall by as much as half, as sales have been negatively impacted by the coronavirus pandemic in the United States and China, its two largest markets.Saying it has “greater visibility” regarding the impact of COVID-19 on its busin...

By Lauren Muskett • April 9, 2020

McDonald’s Pulls Outlook as Sales Plummet

McDonald’s reported a drop in global same-store sales of 22% for the month of March as the coronavirus pandemic ravaged the global economy.The company withdrew its 2020 outlook from February and said it expects to spend about $1.4 billion on capital expenditures in 2020, down from about $2.4 bill...

By Lauren Muskett • April 8, 2020

Increase DPO, If You Can: Metric of the Month

One month ago, few people could have fully anticipated the scenario in which we now collectively find ourselves: Businesses and borders shuttered throughout the world, economic uncertainty for many workers, and a global economy edging toward recession. Many organizations are understandably concer...

By Perry D. Wiggins • April 1, 2020

Dynamic Cash-Flow Forecasting — A Must-Have in Times of Crisis

In times of uncertainty, the capability of an organization to navigate through significant instability can be the catalyst for long-term financial health. A cash-flow forecast model serves as an early warning sign to a company’s future business health by putting a forensic lens on cash balances u...

By David Lewis • March 31, 2020

Tax Managers Draw Up Wish List of Crisis Legislation

What was shaping up to be another year of tax gridlock in Washington has, like seemingly everything else, been disrupted by the coronavirus outbreak.Law firm Miller & Chevalier checked in with tax executives at 34 U.S. companies to gauge what legislative and administrative tax proposals being...

By David McCann • March 23, 2020

Payroll Processors, CPAs Call for Small-Business Support

The American Institute of CPAs (AICPA), along with the International Franchise Association and payroll processing companies Paychex and Intuit, are asking policymakers to help small businesses make payroll during the coronavirus pandemic.“As the federal government focuses its attention on America...

By Lauren Muskett • March 23, 2020

IASB Floats Rule Changes on Acquisition Disclosures

The International Accounting Standards Board is considering changes to its rules that would require companies to disclose more information about how their acquisitions have performed.In a discussion paper released on Thursday, the IASB said investors want more information on whether takeovers liv...

By Matthew Heller • March 20, 2020

Credit Quality: Downgrades Keep Coming

The “recession is already here,” blared a Standard & Poor’s press release on Tuesday morning.“The initial data from China suggests that its economy was hit far harder than projected, though a tentative stabilization has begun,” said S&P Global’s chief economist Paul Gruenwald. “Europe and...

By Vincent Ryan • March 17, 2020

Airlines Seek Sweeping Bailout

The industry group Airlines for America is requesting an aid package from the federal government in the form of loans, grants, and tax relief that could total about $50 billion.The aid request marks a major escalation for the industry as it deals with the economic fallout of the spread of the new...

By Vincent Ryan • March 17, 2020

Businesses Need Swift, Aggressive Action: U.S. Chamber of Commerce

“No business or family should go bankrupt from the temporary but significant disruption caused by the Coronavirus,” said Tom Donohue, CEO of the U.S. Chamber of Commerce, on Monday morning.In a letter to President Donald Trump and congressional leadership, the U.S. Chamber called on Congress and ...

By Vincent Ryan • March 16, 2020

Coronavirus: Five Rules for Growing Customer Loyalty

Consider the fate of two companies: Company A and Company B. Both companies are relatively successful, and both are faced with an extended supply disruption. Company A responds to the shortage by trying to maintain its traditional customer management processes with diminishing product availabi...

By Jonathan Byrnes and John Wass • March 16, 2020

U.S. Airlines in Strong Position to Withstand Virus

U.S. airlines are strong enough financially to weather at least a temporary drop in demand due to travel restrictions resulting from the coronavirus outbreak, according to Fitch Ratings.The credit rating agency said in a report that “North American carriers should be in a stronger position than a...

By Matthew Heller • March 13, 2020

Democrats Balk at Trump Payroll Tax Proposal

President Donald Trump’s proposal for a payroll-tax cut to juice the economy amid the threat from the coronavirus is running into pushback from Democratic lawmakers.Ron Wyden, the senior Democrat on the Senate Finance Committee, said the proposal Trump floated to Republican lawmakers on Tuesday w...

By Matthew Heller • March 11, 2020

FedEx CFO Alan Graf to Retire After 22 Years

FedEx announced that CFO Alan Graf will retire at the end of the year and be replaced by treasurer Mike Lenz as the company continues its effort to adapt to the rise of e-commerce.Lenz will move into his new role on Sept. 22, with Graf staying on until Dec. 31 as senior adviser to ensure a smooth...

By Matthew Heller • March 10, 2020