Home / World / Brexit is reflected in risk factors, Salesforce et al

Brexit is reflected in risk factors, Salesforce et al

The UK's increasingly untidy attempt to withdraw from the European Union, called Brexit, creates uncertainty for US technology companies that are beginning to warn investors of potential defaults.

9659004] Salesforce is part of a growing number of technology companies focused on the potential impact of Brexit, a move that could significantly unsettle European companies. Although UK lawmakers are expected to postpone Brexit scheduled for this month, more and more investors are asking about their future risk.

Over the past three months, 93 earnings views of S & P 500 companies have been targeted at Brexit and its potential impact, according to FactSet. Among them are some of the largest companies, including Facebook, Cisco and Walmart.

While most companies were very reserved with their answers and spoke very little details, some companies were more open about it.

For example, Expedia said British airline bookings have seen a decline due to "uncertainty about Brexit". Booking Holdings, the owner of a group of travel sites including Priceline.com, also said that Brexit "creates a tremendous amount of uncertainty" creating a "risk in addition to other issues" for the company.

Other companies sought to mitigate Brexit's impact on the business. HPE CEO Antonio Neri said demand was "very stable" throughout the quarter. The double-digit sales growth in the UK show. Walmart CEO Doug McMillon said he was "impressed" by the performance of his British team, while Cisco CEO Chuck Robbins wondered about the resilience "he has seen from employees around the world.

It's not clear Why Salesforce has decided to provide more details on the potential impact of Brexit, which generates less than 20 percent of its sales in the European region, a lower percentage than companies like Facebook or Cisco, which account for about a quarter of their European sales. The Salesforce representative was not immediately available for comment.

However, Salesforce already believes that it has "evaluated and begun to implement initiatives," as Brexit's findings reveal "significant uncertainties." 19659003] significant uncertainties regarding the final settlement of the Brexit negotiations, and we will go far We will observe all possible changes and evaluate their potential impact on our business, "Salesforce said in the application.

WATCH: Parliament of the United Kingdom approves the tentative delay of Brexit

Source link