Mind the GAAP! Here are 5 things you need to know about non-GAAP financial measures
Are you using non-GAAP financial measures? Need an update on the SEC’s rules and interpretative guidance around reporting this information? Then listen to this week’s episode. Diane Howell, a partner in PwC’s national office, joins Heather Horn to discuss 5 things companies should know about non-GAAP measures, including:
- 0:53 - A helpful refresher on the definition of a non-GAAP measure and common examples
- 1:47 - The drivers behind why companies report non-GAAP measures and why they believe the measure is useful
- 4:51 - An overview of the SEC’s rules and interpretative guidance around the use of non-GAAP measures
- 9:20 - Insights into how the SEC reviews non-GAAP information included in SEC filings, including how they view prominence, reconciliations, and individually tailored measures. Diane also discusses recent related comment letters and enforcement cases.
- 15:51 - Best practices for reporting high quality non-GAAP measures