Focus On Finance: Q3 Update

For many companies, the end of summer marks the planning period for the next year. It's a time when finance teams look back on historical trends to assess the financial and operational health of their business, and to forward-looking indicators to develop plans and strategies for the next 12 months or beyond. Or, at least this was the case during normal, more predictable times, but today is anything but normal.

The global economy continues to present companies with unprecedented challenges and volatility. The Fed just implemented its fifth consecutive rate hike, and the European Central Bank has done likewise. Borrowing costs are at their highest levels since 2019. When CPI declined more than expected from July to August, equity markets were sent spiraling. Additional uncertainties influence the global economic landscape - the Ukraine-Russia conflict, high energy prices, supply chain and logistics challenges, weak demand in China due to Covid lockdowns, and rapidly