Cyber ‘Worm’ Attack Strikes Corporate Earnings Globally

Cyber 'Worm' Attack Strikes Corporate Earnings Globally

A Destructive cyber ‘worm’ attack has disrupted the operations of companies like Merck (A drug manufacturing company) and Mondelez (Oreo cookie manufacturing company) said the sources related to the companies on Wednesday, August 2, 2017. The companies have been facing issues as soon as they entered the second quarter last week. Expensive cyber-attacks seem to have a major impact on global corporate earnings.

Mondelez International Inc., second largest confectionary firm in the world, reported a drop of nearly five percent in their sales on Wednesday. According to them, the reason for the drop is the invoicing and shipping delays that took place due to the cyber worm attack on June 27. The attack is commonly known as NotPetya.

Other victims of NotPetya include a drug manufacturing company called Merck & Co Inc. Last week the company warned that the attack has paused the production of certain drugs. They also mentioned that the company has not yet figured out the entire cost affected by the attack. NotPetya has also decelerated deliveries and shipping speed at FedEx Corporation. It has caused disruption in the port operations of A.P. Moller-Maersk A/S, a renowned shipping firm. In addition, the attack has also caused a halt in the production lines at Reckitt Benckiser PLC- a British consumer goods manufacturer, as per the information provided by the accounts department of the company.

The equity co-head of Wedbush Securities, Ian Winer, mentioned that the investors need to get used to getting notified about cyber-attacks as they get earnings calls. Winer also said that “the trend has been accelerating. As hackers are getting more sophisticated, they are trying to take shots at bigger companies.” Increasing number of hackers are becoming proficient in finding and developing malware that can wipe off all the data on computers, thus making the computers inoperable.

You may be interested

Smart Nanotechnology Enlivens Wooden Ships and Artifacts
Business
Business

Smart Nanotechnology Enlivens Wooden Ships and Artifacts

Mohit Joshi - January 28, 2019

Scientists developed an innovative approach using ‘smart’ nanocomposites to conserve 16th-century British warship, the Mary Rose, and its artifacts. Shipwrecks are preserved in sediments under cold water,…

Researchers Discovered New Properties of Ferroelectric Crystal
Business
Business

Researchers Discovered New Properties of Ferroelectric Crystal

Mohit Joshi - January 25, 2019

Researchers discovered new properties of ferroelectric crystal, according to a study published on July 10, 2018. This study was conducted by a team of researchers from China.…

Researchers Develop Novel Antibody to Knockdown of Protein in Vertebrates
Healthcare
Healthcare

Researchers Develop Novel Antibody to Knockdown of Protein in Vertebrates

Mohit Joshi - January 24, 2019

Researchers from Technische Universität Dresden developed a synthetic antibody that improves functional analysis of proteins. A research led by Dr. Jörg Mansfeld of the Biotechnology Center of…

Most from this category