All articles tagged with #impairment charges
HSBC reported a 29% drop in second-quarter profit to $6.3 billion, missing expectations due to impairment charges, and announced a $3 billion share buyback amid ongoing restructuring and economic uncertainties.
Walgreens Boots Alliance Inc reported a 6.3% increase in Q2 sales to $37.1 billion, but also a net loss of $5.9 billion due to non-cash impairment charges related to VillageMD goodwill. Despite the loss, the adjusted EPS of $1.20 exceeded estimates, and the U.S. Healthcare segment achieved positive adjusted EBITDA for the first time. The company faces challenges in the retail environment but is focusing on cost-saving initiatives and strategic shifts towards healthcare services for potential growth.
Procter & Gamble (P&G) will incur up to $2.5 billion in charges for a restructuring and impairment related to its Gillette business. The restructuring will primarily affect certain enterprise markets, including Argentina and Nigeria, to address challenging macroeconomic conditions. P&G expects the charges to be recognized in the 2024 and 2025 fiscal years, with an initial charge recorded in the current quarter. While the underlying performance of the Gillette business remains strong, future adverse changes in the business or macroeconomic environment may trigger additional impairment charges. P&G shares fell 3.5% in response to the news.
Disney plans to write off an additional $400 million in content, which means more content removals are on the way from Disney+, Hulu, and Star+. The company anticipates further withdrawals of programming from direct-to-consumer and other platforms, mainly throughout the remainder of its fiscal third quarter. This is projected to lead to an additional $400 million in impairment charges, according to Disney’s estimates.
Amazon's $2.7 billion in impairment charges related to layoffs and store closures during the fourth quarter of 2022 could set the e-commerce giant up for big profits in 2023. Analysts expect Amazon to swing to a profit, with a projected $15 billion in net income for the year, after a $2.7 billion loss in 2022.