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Forecasting

Media CFOs offer first insights into the new year

Media and communications companies report heading into the new year with an eye on inflation but still prepared to grow.
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Erik Khalitov/Getty Images

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Several finance chiefs were on hand at Citi’s 2023 Communications, Media, and Entertainment Conference last week to give the tiniest of hints about what investors and the broader markets can expect to see in Q4 results. The good news is: If their remarks are any indication, everyone may be able to breathe a little bit easier in the upcoming weeks.

Warner Brothers Discovery CFO Gunnar Wiedenfels called 2022 a year of restructuring, and said 2023 is going to be all about relaunching and building. “We were going into 2023 with a much greater slate. We’re going to be ramping up production across large parts of the company,” he added. The entertainment company is anticipating much better cash flow generation.

T-Mobile CFO Peter Osvaldik said earnings are “going to be exactly where we anticipate.” While the telecom giant reported it was able to sidestep the worst of inflationary woes by locking in longer-term contracts, the finance chief said the company has seen it “on the edges” in labor and bad debt.

AT&T CFO Pascal Derosches wasn’t as willing to divulge rosy growth plans but said the company doesn’t anticipate 2021 or early 2022 growth levels, a low point for the wireless industry. Demand remains “healthy,” Desroches added—not the most reassuring assessment, but not the doom and gloom many recent surveys suggested was on the horizon.—KT

News built for finance pros

CFO Brew helps finance pros navigate their roles with insights into risk management, compliance, and strategy through our newsletter, virtual events, and digital guides.