The Canadian auto dealer and public company, AutoCanada, is having a challenging year.

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The Canadian auto dealer and public company, AutoCanada, is having a challenging year. It was affected by the cyber attack against CDK and it is now being affected by cyber attack that has affected some of its IT systems. The dealer has 70 dealerships in Canada and 18 in Illinois.

At the same time as announcing the 2nd cyber attack, the dealership announced the negative impact of the CDK cyber attack on Q2 earnings (8.8% on revenue). The CDK outage disrupted operations resulting in lost sales and profits, OEM inventory grew across the industry causing higher days supply in key brands and impacting floorplan costs, and rising unemployment combined with falling GDP in a still elevated rate environment perpetuated consumer uncertainty, said AutoCanada Chair Paul Antony. Earnings fell from $1.75 to $1.47 compared to Q2 2023.

https://lnkd.in/expYu7Nh

Auto Canada share price has fallen significantly from the date of the announcement, dropping from $18 to $15 $CAN

Cyber has a material effect on organisations. In 2024 we’ve seen much more market activity as shareholders start to understand the correlation between cyber attacks, earnings, medium term operational performance and the lack of cybersecurity corporate governance.

@Thaddeus Dziekanowski Brian D. McCarthy Rachel V. Rose, JD, MBA Faisal Khan

Veritas GRC Senebria

#cybersecurity #cyberriskmanagement #cybergovernance

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Cybersecurity, Governance & ESG

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