It's clear in the report that profit warnings are coming thick and fast from across the economy, as cost pressures pass through supply chains, falling confidence hits spending and contract renewals, and credit tightens. For the first time since 2009, credit tightening triggered over 10% of warnings in a single quarter in Q4 2022.
Unsurprisingly, consumer-facing companies still led profit warnings in Q4 2022. Changing consumer behaviour and the cost-of-living crisis will no doubt keep the pressure on consumer sectors throughout 2023.
SMEs have taken the main brunt of economic pressure so far. But in such febrile markets, stress is contagious, and no company or sector can really consider themselves immune...