While the Bank of Canada’s outlook survey shows business sentiment falling, analysis of earnings call transcripts suggests companies are even more pessimistic in their communications with shareholders
” in their earnings calls rising at the fastest pace in 15 years, an analysis of call transcripts shows.
The surge in the share of Canadian companies using the R-word adds to mounting evidence that businesses are bracing for a downturn. Earlier this week thereleased the results of its fourth-quarter business outlook survey, which showed its indicator of business sentiment falling to 0.7 from 1.74 in the third quarter.
In the bank’s outlook indicator, zero represents the historical average of business confidence. By that measure sentiment has fallen, but not into negative territory. A search of earnings call transcripts using financial-intelligence platform AlphaSense/Sentieo, on the other hand, points to much greater pessimism from executives in their conversations with analysts and investors, perhaps reflecting an attempt to manage expectations for the months ahead.
Among the chief executives and chief financial officers mentioning a potential downturn in recent calls were Douglas Murphy, CEO of Corus Entertainment Inc., who said “the macro outlook recession” is “a concern that we have”; Transat A.T. Inc.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
As COVID-19 wanes and recession lurks, corporate profits boomIn spite of inflation, spiking interest rates and the threat of recession, 2022 was a great year for corporate Canada, with the biggest companies in the country having more than rebounded from COVID
Read more »
A recession is coming and Ontario could be one of the hardest hit provincesMost Canadian provinces will enter a recession in 2023 but Ontario is set to be among the hardest hit. According to a report by Deloitte, Canada’s ...
Read more »
U.S. treasuries rise, U.S. stocks slide on recession worries - BNN BloombergTreasuries rallied and equities declined as growing signs of a global economic slowdown raised investor concern that the start-of-the-year rally in risk assets may have gone too far.
Read more »
Oil extends decline on U.S. recession concern, inventory build - BNN BloombergOil fell for a second day on signs of rising U.S. inventories and economic growth concerns.
Read more »
Canadian ‘top chef’ takes helm of Okanagan College restaurant - Okanagan | Globalnews.caRuth Wigman's 20-year culinary career has taken her coast to coast and now she's bringing experiences gained in those adventures to the restaurant at Okanagan College.
Read more »
Toronto, Kitchener among Canadian cities with highest car insurance rates: ReportIt makes sense to shop around for a better rate on your car insurance. But depending on where you live could play a factor.
Read more »