The Way Forward: The Digital Supply Network

Digital disruption is changing markets everywhere. Today’s digital customers want unique experiences delivered “on demand” and at hyper-speed. In a recent study by Accenture Strategy, 4 in 10 supply chain executives reported their customers are looking for faster and more flexible fulfillment, wh...

By Kris Timmermans • Nov. 22, 2016

SEC Comment Letters Spur Corporate Tax Compliance

SEC comment letters are supposed to keep companies in line with the regulator’s disclosure rules, but they can also indirectly increase a company’s provision for income taxes, according to a new study published in The Accounting Review.In other words, after receiving an SEC comment letter dealing...

By Sean Allocca • Nov. 21, 2016

Explore the Trendline➔

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

Foot Locker Earnings Double in Third Quarter

Sneaker and athletic apparel retailer Foot Locker reported a robust third quarter, doubling its profit and posting same-store sales growth of nearly 5%.Net income rose to $157 million, or $1.17 per share, compared to $0.57 per share in the year-ago quarter. Adjusted earnings per share were 1.13, ...

By Matthew Heller • Nov. 21, 2016

Wal-Mart Posts ‘Solid’ Quarter But Stock Falls

Wal-Mart on Thursday reported lower-than-expected revenue gains for the third quarter as its grocery business continued to be hit by food-price deflation.Same-store sales in the U.S. rose 1.2%, the ninth straight increase, but analysts had been expecting growth of 1.3%, according to Consensus Met...

By Matthew Heller • Nov. 17, 2016

Target’s Same-Store Sales Beat Expectations

Target Corp. shares jumped more than 6% on Wednesday after the retailer reported a lower-than-expected drop in same-store sales and an improved outlook.For the third quarter, comparable sales fell 0.2%, rebounding from a 1.1% slump in the previous quarter. The results came as some relief to inves...

By Matthew Heller • Nov. 16, 2016

The Case Against Trump’s Economic Proposals

NEW YORK — Attendees at a conference for finance executives on Tuesday got an earful of sharp talk about the economic impact of Donald Trump’s tax and spending proposals, should they be implemented.Joel Naroff There must have been plenty of Trump supporters in the large, crowded room at FEI’s Cur...

By David McCann • Nov. 16, 2016

Risky Business: SEC Focuses on Internal Controls

(Editor’s note: The author is a former chief accountant of the Securities and Exchange Commission’s Division of Enforcement.)A developing trend in the SEC’s approach to accounting enforcement has increased risk for public companies in the area of internal controls over financial reporting (ICFR)....

By Howard Scheck • Nov. 16, 2016

The Changing Face of Retail

Scott Settersten is a retailing CFO to be envied. The company he works for, Ulta Beauty, has 907 stores and in August was on track to complete its 2016 plans to open 100 net new locations. The company’s financial “overperformance” relative to other retailers stems largely from its exclusive focus...

By David Katz • Nov. 14, 2016

Disney Profit Hurt by Revenue Decline at ESPN

Walt Disney Co. reported fourth-quarter earnings that missed analysts’ estimates as operating income declined at all four of its business segments.The media giant earned $1.10 per share, excluding items, on revenue of $13.1 billion but according to Thomson Reuters, the consensus estimate was earn...

By Matthew Heller • Nov. 14, 2016

Plotting Your Tech Spending for 2017

 As last-minute year-end budget jockeying takes place, CFOs are looking for the optimal return on their technology investments. Here are five articles looking at some of the top considerations when evaluating your IT spending.10 Questions for Technology OptimistsFrom time to time, it’s useful for...

By CFO Editorial Staff • Nov. 12, 2016

J.C. Penney Suffers Same-Store Sales Setback

J.C. Penney on Friday reported a surprising quarterly decline in same-store sales but said its new appliance departments in 500 stores had fueled improved results in October.The retailer’s comp sales for the third quarter ended Oct. 29. fell 0.8% after a 6.4% increase in the year-ago period. Wall...

By Matthew Heller • Nov. 11, 2016

Israeli Firm Fined $1.7M Over Online Trading

An Israeli firm that operates online trading platforms has agreed to pay more than $1.7 million to settle charges that it failed to disclose the risks of trading binary options, costing U.S. investors about $2 million in losses.The U.S. Securities and Exchange Commission said EZTD Inc. represente...

By Matthew Heller • Nov. 11, 2016

Trump’s Corporate Tax Reforms: What CFOs Need to Know

After a dramatic upset victory in one of the most bitterly contested presidential races in recent history, Donald Trump now has some serious work to do. His corporate tax policies—which are vital to his platform of domestic growth and repatriation of U.S. income and jobs—will require significant ...

By Matthew A. Morris • Nov. 11, 2016

Macy’s Misses Estimates But Stock Climbs 5.6%

Macy’s reported quarterly earnings that missed analysts’ estimates for the first time in five quarters but its stock rose as it suggested the retail environment was improving.The retailer earned 17 cents a share in the third quarter, down from 56 cents a year ago and well below the consensus esti...

By Matthew Heller • Nov. 11, 2016

How Will Trump Pay for That Huge Tax Cut?

Expect something huge involving corporate taxes to come before Congress in the early stages of the Donald J. Trump presidency. While the biggest likelihood is a massive cut in federal corporate income taxes from the current maximum rate of 35% to 15% or 20%, broader tax reform is also a possibili...

By David Katz • Nov. 10, 2016

Burberry Restructuring Costs Hit Pretax Profit

Burberry, which has been attempting a turnaround after a year of underperformance, reported a 34% fall in first-half pre-tax profits, reflecting costs from its retrenchment.The British luxury goods company said Wednesday that pre-tax profits declined from 154.7 million pounds ($192.2 million) to ...

By Matthew Heller • Nov. 10, 2016

Wendy’s Third-Quarter Profit Soars to $49M

Wendy’s reported a sharp increase in profit as higher franchise fees and strong same-store sales offset the loss of revenue from stores it has sold to franchisees.For the third quarter, the fast-food chain’s net income soared to $49 million, or 18 cents a share, from $7.6 million, or 3 cents a sh...

By Matthew Heller • Nov. 9, 2016

Sysco’s Profits Get Boost From Brakes Deal

Sysco’s profits rose by nearly one-third in the first quarter amid a surge in international sales fueled by its recent acquisition of U.K. food-service distributor Brakes Group.Net income increased to $324 million from $244 million a year earlier while overall revenue was up 11% at $14 billion. E...

By Matthew Heller • Nov. 8, 2016

IFF Profit Falls 4% Amid ‘Challenging Conditions’

International Flavors & Fragrances’ shares fell nearly 4% on Tuesday after the company reported disappointing third-quarter results and cut its profit projection for the year.IFF’s third-quarter profit fell 16% to $89.8 million, or $1.12 a share, and, on an adjusted basis, dropped to $1.34 a ...

By Matthew Heller • Nov. 8, 2016

Berkshire Hathaway Reports Mixed Earnings

Berkshire Hathaway’s operating profit from its businesses rose 6.6% in the third quarter but net income fell due to lower investment gains.Warren Buffett’s conglomerate had operating earnings of $4.85 billion, amounting to $1.97 per Class B share or $2,951 per Class A share, in the three months t...

By Matthew Heller • Nov. 8, 2016

Metric of the Month: Personnel Cost Errors

When forecasting how much a company will need to spend on labor, precision is vital. If CFOs get the personnel cost forecast wrong, the ripple effect is felt throughout the organization. Nobody feels it more than business-unit managers, who must find a way to get the work done when recruitment an...

By Mary Driscoll • Nov. 8, 2016

Sotheby’s Loss Widens to $54M in 3rd Quarter

Sotheby’s posted a steep loss in its latest quarter but assured investors the deficit was seasonal and the art market may be headed for a rally.The auction house said Monday it lost $54.5 million for the third quarter, compared to an adjusted net loss of $17.9 million a year ago. It attributed th...

By Matthew Heller • Nov. 7, 2016

M&A Activity Surges Prior to Election

While M&A activity typically slows down in the run-up to a presidential election, this year’s atypical contest is having the opposite effect in its final month. According to Dealogic, U.S. companies have struck $248.9 billion of merger agreements in October, topping the previous record of $24...

By CFO Editorial Staff • Nov. 5, 2016

Multinationals Dodged Bullet on ‘Earnings Stripping’ Rules

Many kinds of U.S. multinational companies, including  S-corporations, REITS, and financial services companies apparently dodged a bullet last month when the U.S. Treasury Dept. issued its final, substantially revised rules aimed at curtailing “earnings stripping.”U.S. Treasury Secretary Jacob Le...

By David Katz • Nov. 4, 2016

Fitbit’s Profits Hit By Manufacturing Problems

Fitbit, the maker of wearable fitness-tracking devices, posted lower than expected earnings and a dismal fourth-quarter outlook on Wednesday, sending stocks plummeting in after-hours trading and suggesting the device maker could be in for a gloomy holiday season.While quarterly revenue increased ...

By Sean Allocca • Nov. 3, 2016