Credit Suisse has disappointed investors with a $1.5B loss in Q4 and activist investor Nelson Peltz has ended his proxy fight with Disney
| 1. On Thursday, Credit Suisse posted its fifth consecutive unprofitable quarter, with a net loss of $1.5B. During 2022, assets under Credit Suisse's management dropped 27%, from $802B to $523B, significantly reducing the banks' management and transaction fees. The Swiss lender forecasts another full-year loss in 2023 before it returns to profitability in 2024. In addition to its disappointing quarter, Credit Suisse also announced the next step in establishing its investment bank: spending $175M to purchase the Klein Group LLC advisory boutique from M. Klein & Co. |
| 2. Lyft stock is experiencing its worst day of trading since its IPO in 2019, with shares falling 36%. The plunge was in response to the ridesharing company posting an unexpected adjusted loss of $0.74 for the December quarter while analysts were expecting a profit. Q: Will Lyft remain competitive with Uber through 2023 and beyond? Share your thoughts on Inside.com. |
| 3. Activist investor Nelson Peltz has called off his proxy fight with Disney, in which he sought a board seat after CEO Bob Iger revealed a restructuring plan, including cost cuts and 7,000 layoffs. Iger has even floated the possibility of selling Disney's stake in Hulu to Comcast to reduce the company's debt. Q: Should Disney sell its take in Hulu? Let us know at Inside.com. |
| 4. PayPal CEO Dan Schulman will retire at the end of 2023, the company announced on Thursday. Schulman, who took over as chief executive when PayPal split from eBay in 2015, decided to retire in December and will continue serving on the PayPal board of directors. PayPal accompanied the announcement of Schulman's retirement with its earnings, which beat analysts' expectations with $7.4B in net revenue for the December quarter. |
| 5. Yahoo will lay off 20% of its workforce, or more than 1,600 employees, as it restructures its advertising technology unit. As part of the changes, Yahoo will shut down its supply-side platform SSP and its native advertising platform Gemini. Moving forward, the media company will sell ads on its content using Taboola, a company in which Yahoo acquired a minor stake last year. |
| 6. In a Twitter thread, Coinbase CEO Brian Armstrong criticized a rumored ban on cryptocurrency staking by the Securities and Exchange Commission. The rumors gained some validity when the SEC announced a settlement with Coinbase competitor Kraken, requiring the exchange to end its staking operation in the U.S. Staking is a significant part of Coinbase's business, accounting for roughly 10% of its revenue in the quarter ending in Sept. 2022. As a result, Coinbase shares fell about 14% on Thursday. Q: Should the SEC ban cryptocurrency staking? Tell us what you think at Inside.com. |
| 7. The Securities and Exchange Commission is considering loosening a climate risk disclosure rule it proposed last March after receiving pushback from businesses and investors. As it exists now, the proposed rule would require publicly traded companies to include how their operations affect the climate in registration statements and annual reports. According to SEC Chairman Gary Gensler, the commission received 15,000 public comments on the proposal, with a CNBC survey finding only 25% of CFOs support the disclosure rule. |