Low commodity prices in 2015 prompted energy companies to drastically revise their operational, capital expenditure (capex), finance and risk management plans. Industry-wide, capital expenditures fell an estimated 45% in 2015 versus 2014.
For 2016, the outlook suggests continuing frugality as the prevailing industry view is for oil and gas prices to remain “lower for longer,” reports Citi.
In two recently-issued articles, the group discuss how chief financial officers (CFOs) and treasurers are adjusting to these changes and working with their banks to beef up their global strategy. The authors are Jim Reilly, vice chairman and global head of energy corporate banking at Citi and Peter Langshaw, global sector sales head for energy, power, chemicals, metals and mining.
Both papers, under the title “Adapting to ‘Lower for Longer: How Companies are Adopting and Embedding Resilience’, can be accessed here.
Cash-flow based metrics now feature prominently alongside traditional revenue measures of business performance in the key figures or financial summary pages of any public company.
Far and away, the largest financial market on the planet is the foreign exchange currencies market, where on average individuals and organisations trade more than $5 trillion daily. In the FX world, the ability to master the market isn't considered a luxury for treasury officers–it's a necessity.
With the end of 2017 fast approaching, many finance professionals might be counting down the days with some degree of dread. Year End is just around the corner and with it comes the many long hours accountants will spend going over balance sheets and profit and loss accounts, investigating account irregularities and chasing sign offs.
Using data for predictive analytics is the future of banking success, argued Jean-Laurent Bonnafé, CEO of BNP Paribas, in his session on how the bank is reinventing its approach to innovate with and for corporates.