Alternative performance measures - Revision history

imported>Doug Williamson: Remove surplus text.

2023-02-19T16:16:36Z

Remove surplus text.

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 Alternative performance measures are also known as ''non-GAAP measures''.
 == See also ==
 * [[Accounting policies]]
 * [[Financial reporting]]
-* [[Free cash flow]]
+* [[Non-GAAP measures]]
 * [[Operating profit]]
 * [[Reconciliation]]

imported>Doug Williamson: Add abbreviation.

2023-02-19T16:13:49Z

Add abbreviation.

← Older revision		Revision as of 16:13, 19 February 2023
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	''Financial reporting - accounting principles.''		''Financial reporting - accounting principles.''

			(APMs).

	Alternative performance measures are amounts calculated and disclosed by management that supplement the reporting and disclosures required by law and financial reporting standards.		Alternative performance measures are amounts calculated and disclosed by management that supplement the reporting and disclosures required by law and financial reporting standards.
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	:*Free Cash Flow is defined on the face of the consolidated cash flow statement and provides management with an indication of the amount of cash available for discretionary investing or financing after removing capital related items."		:*Free Cash Flow is defined on the face of the consolidated cash flow statement and provides management with an indication of the amount of cash available for discretionary investing or financing after removing capital related items."

	:''Abcam plc - Annual Report - 2020''		:''Abcam plc - Annual Report - 2020''.

imported>Doug Williamson: Mend link.

2022-06-24T13:04:36Z

Mend link.

← Older revision		Revision as of 13:04, 24 June 2022
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	* [[Constant exchange rate]] (CER)		* [[Constant exchange rate]] (CER)
	* [[Disclosure]]		* [[Disclosure]]
	* [[Earnings per share]]		* [[Earnings per share]] (EPS)
	* [[Generally accepted accounting principles]]		* [[Generally accepted accounting principles]]
	* [[Financial reporting]]		* [[Financial reporting]]
	* [[Free cash flow]]		* [[Free cash flow]]
	* [[~~GAAP~~]]		* [[Generally accepted accounting principles]] (GAAP)
	* [[Income statement]]		* [[Income statement]]
	* [[International Financial Reporting Standards]] (IFRS)		* [[International Financial Reporting Standards]] (IFRS)

imported>Doug Williamson: Add Health Warning.

2021-06-01T22:08:29Z

Add Health Warning.

← Older revision		Revision as of 22:08, 1 June 2021
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	*Be reconciled with related GAAP measures and		*Be reconciled with related GAAP measures and
	*Not be misleading.		*Not be misleading.


			All such measures should be treated with caution, as management may - consciously or unconsciously - be influenced to present figures in ways that reflect well on its own performance.

imported>Doug Williamson: Create page. Source: non-GAAP measures page.

2021-06-01T21:55:27Z

Create page. Source: non-GAAP measures page.

New page

''Financial reporting - accounting principles.''

Alternative performance measures are amounts calculated and disclosed by management that supplement the reporting and disclosures required by law and financial reporting standards.

Alternative performance measures are also known as ''non-GAAP measures''.

Such measures and disclosures must:
*Be reconciled with related GAAP measures and
*Not be misleading.

:<span style="color:#4B0082">'''''Alternative performance measures - examples'''''</span>

:"The Group’s performance is assessed using a number of financial measures which are not defined under IFRS and are therefore non-GAAP (or alternative) performance measures. These are set out as follows:
:*CER is a measure which allows management to identify the relative year-on-year performance of the business by removing the impact of currency movements which are outside of management’s control.
:*Margin percentages (which are calculated by dividing the relevant profit figure by revenue) for each of the relevant profit metrics provide management with an insight into relative year-on-year performance.
:*Adjusted profit measures, as described in note 1(c) to the consolidated financial statements, are believed by the Directors to enable a reader to obtain a fuller understanding of underlying performance since they exclude items which are not reflective of the normal course of business...

:The key adjusted profit measures comprises adjusted operating profit.

:Adjusting items (which are excluded to arrive at adjusted performance measures) are also described on the face of the income statement and in note 7 to the consolidated financial statements.
:*Adjusted earnings per share measures are derived from adjusted profit after tax with the rationale for their use being the same as for adjusted profit metrics and are reconciled to their IFRS equivalent in note 11 to the consolidated financial statements.
:*Free Cash Flow is defined on the face of the consolidated cash flow statement and provides management with an indication of the amount of cash available for discretionary investing or financing after removing capital related items."

:''Abcam plc - Annual Report - 2020''

== See also ==
* [[Accounting policies]]
* [[Adjusted earnings]]
* [[Cash flow statement]]
* [[Consolidated group accounts]]
* [[Constant exchange rate]] (CER)
* [[Disclosure]]
* [[Earnings per share]]
* [[Generally accepted accounting principles]]
* [[Financial reporting]]
* [[Free cash flow]]
* [[GAAP]]
* [[Income statement]]
* [[International Financial Reporting Standards]] (IFRS)
* [[Non-GAAP earnings]]
* [[Operating profit]]
* [[Reconciliation]]
* [[Reporting entity]]
* [[Underlying]]

[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]