Arrival of the second half, naturally I think, sets investors and investor relations people to thinking about year-end. We’re halfway through 2010, so we begin to ask, “What will the outcome of this year be, in earnings and other accomplishments? … or in disappointments?”
As an IR person in the US, I’ve always seen Fourth of July weekend as a kind of pivot for the year. Whether it’s the start of third quarter or the holiday picnics and fireworks that punctuate this time for you, here are some questions to contemplate:
- What kind of year will 2010 be in your memory, and that of your shareholders, 2 or 3 years from now? Do your communications now reflect that tone?
- More immediately, when you report second-quarter earnings in the next few weeks, how will you answer questions about full-year 2010 prospects?
- What do the first-half trends tell you about likely sales, costs and earnings in the next 6 months?
- Does your outlook include a second-half turnaround, and what evidence can you offer of its probability?
- What accomplishments has management promised for 2010 that need to get accomplished in the second half? Or do you need to soften those projections?
- Do the CEO and CFO plan any mid-course corrections? If so, when is the appropriate time to begin to disclose those to investors?
- What tone and messages will your audience get in the 2010 annual report? Time to get started is coming – whether your “annual” is a robust piece full of image, strategy and performance, a plain 10-K, or something in between.
Sure, we have a few weeks to relax – except for reporting Q2 results and all the interaction around earnings time – before the real rush to year-end begins. But the onset of second half is a good trigger for starting the thought process.