Today Kovrr, the leading global provider of on-demand cyber risk quantification (CRQ) solutions, published its latest cyber risk management research, Cyber Risk and Financial Resilience in the S&P 500. The report explores the likely monetary losses companies face in the wake of an event and offers critical insights into the resilience of the largest US enterprises, along with the broader market implications.
To assess the market’s relative strength against cyber incidents, Kovrr’s Cyber Risk and Financial Resilience in the S&P 500 report analyzes two key perspectives: profitability impact and long-term capital impact. The former compares a large but likely scenario, with a 10% chance of occurring in any given year, against the company’s profitability as reported in its previous year’s income statement, while the latter assesses a much rarer scenario, with a 1% chance of happening annually, against the available shareholders’ capital, providing insights into the downstream consequences.
Impact of Cyber Events on Profitability and Insolvency Risk
Many S&P 500 companies that run a profit and have a positive overall value are reasonably…
