It’s not easy to embrace change, even when new technology makes it easier than ever. The financial industry, and investor relations professionals, wrestle with this on a daily basis, particularly as social media, video, and even infographics alter and enhance the ways companies are able to communicate with their shareholders.
Corporate Earnings Releases are a great example.
The most recent issue of the Better IR newsletter features a story on new practices some companies are adopting when announcing corporate earnings. Ipreo spoke with IROs at a seven companies that have implemented a new framework for their earnings calls, including Netflix, Twitter and Ford Motor Company.
We sought out the opinions of the buy side and sell side, obviously two critical constituencies, to see what changes they’ve been making, and why. The piece provides a refresher on the current earnings practices most commonly employed across the industry before delving into the key findings from conversations with stakeholders.
Here’s an excerpt. Visit the latest issue of Better IR below for the full piece.
Anyone that has listened to or participated in a corporate earnings call has likely been hit with the thought that there has to be a better way to conduct these calls to make them less scripted and more interactive. Given the pay scale of the C-Suite corporate executives, the buy-side investment managers and the sell-side analysts participating in these calls, a somewhat perfunctory re-read of the already distributed press release seems like a model in need of an update. In fact, several companies have begun to re-work the conference call model to take advantage of new media, including video and social media, all in an effort to emphasize more non-scripted interaction and better address the needs of the investment community.
Read the full piece in June’s Better IR.