Sageworks Blog

Mar04

Private automobile dealers’ margins thin vs. other industries Mary Ellen Biery [email] Research Specialist

Mar 04, 2013 13:10

U.S. auto dealers recently reiterated earlier complaints they had over manufacturer requirements to upgrade their showrooms and other facilities, and new financial data from Sageworks Inc., a financial information company, may shed some light on their concerns. [More]

Mar 01, 2013 16:01

Sageworks recently hosted a dinner and discussion event, "The Allowance for Loan & Lease Losses: How to Justify Change & Remove Subjectivity." Held in Houston, Texas, the event featured Sageworks’ risk management consultant Ed Bayer and Briggs & Veselka’s David Munn. This guest post by David Munn outlines his presentation at the event, which addressed reducing subjectivity in the ALLL. [More]

Feb 27, 2013 15:45

Sageworks recently hosted a webinar, FASB’s CECL Model: How it will impact your ALLL, to discuss the new Current Expected Credit Losses (CECL) model. The presentation, which included Tom Danielson and Todd Sprang, partners at CliftonLarsonAllen, and Sageworks risk management consultants Mike Lubansky and Ed Bayer, explained how the FASB proposal abandons the “incurred loss” thresholds and attempts to capture “expected losses.” Several questions were asked during the webinar, two of which are featured in this post. [More]

Feb 26, 2013 12:11

Guest columnist John Calia discusses current trends in mergers and acquisitions, including recent deals tied to Warren Buffett, and how these trends affect small businesses. [More]

Feb 25, 2013 14:24

Sageworks’ monthly report on the state of privately held companies in America, released today, shows that private companies in the United States continued to increase sales and improve their net profit margins in the period ending in January 2013. [More]

Feb 22, 2013 08:09

The Financial Accounting Standards Board (FASB) recently proposed a new model for accounting for credit losses that, if adopted, could force banks to boost their loan loss reserves and recognize losses from loans more quickly.

Feb 21, 2013 12:56

Gas prices continue to rise, but interestingly enough, only a small portion of the profit is actually going into the pockets of gas station owners. According to data from Sageworks, private gas stations have lower net profit margins than the average private company.

“The average private company is making roughly eight cents of profit for every dollar of revenue brought in,” said Sageworks analyst Libby Bierman. “The owners of privately held gas stations, however, are making less than three cents for every dollar. In fact, for at least each of the past ten years, the industry has had a net profit margin of less than 3 percent, at times as low as 1 percent.” [More]

Feb21

Spotlight on manufacturing trends Mary Ellen Biery [email] Research Specialist

Feb 21, 2013 10:09

Manufacturing has been a relative bright spot in the economy since the recession, and President Obama earlier this month called for new efforts to boost manufacturing. So what is the “State of the Union” for privately held manufacturing companies? Sageworks takes a look at sales, profitability trends. [More]

Feb 20, 2013 13:57

These days, you must have more than just the right answer for your ALLL reserve calculation, says Drew Roberts, President of Burton, Roberts & Meredith, LLC. In this guest column, Roberts discusses how ALLL regulation has changed and what institutions can do to improve. [More]

Feb 19, 2013 16:58

What platform are institutions currently using to assist with their ALLL calculation? Sageworks recently polled over 130 financial institutions and found that 84% are using Excel, while the majority of those using third party ALLL solutions use a web-based ALLL methodology. [More]