Wed, Nov 15, 2017
Duff & Phelps Quoted in the WSJ: Energy Sector’s Goodwill Impairments Slump as Oil Prices Rebound
The amount and number of goodwill impairments recorded by the energy sector declined dramatically in 2016 as crude oil prices recovered from 12-year lows, according to the Duff & Phelps 2017 U.S. Goodwill Impairment Study, prepared in partnership with the Financial Executives Research Foundation. The study analyzed general and industry goodwill impairment (GWI) trends through December 2016 for over 8,400 U.S. publicly-traded companies.
Despite being the hardest hit industry for three consecutive years, energy had the most notable reduction in GWI in 2016. “We hit the 12-year low in oil prices at the start of the year, but by year end they had almost doubled and that really helped the energy industry, and accordingly that helped reduce the goodwill impairment by the industry,” said Carla Nunes, Duff & Phelps Managing Director.
Subscribers can read the full story in the WSJ.
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