GAAP vs Non GAAP

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Hi all,

have a question regarding Seeking Alpha and EPS..It appears ion the Income Statements,Seeking Alpha uses GAAP earnings for EPS.However,when I look at EPS suprise and Esimates,it always looks at Non GAAP numbers.

Why is GAAP used for the financial staements but the Estmates and suprise look at Non Gaap numbers??? Which numbers do companies report???

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SA Admin Shubham Shresth
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Hi there,

Companies report GAAP numbers, but those numbers are adjusted for special income and expenses, and industry standards for income and expense recognition aka normalizing the number to make statements more comparable among peers.


Hope this helps! Feel free to reach out in case further assistance is required.

Regards,
Shubham Shresth
Data QA Analyst, Seeking Alpha

Avatar
SA Admin Shubham Shresth
  • Answer
  • Answered

Hi there,

Companies report GAAP numbers, but those numbers are adjusted for special income and expenses, and industry standards for income and expense recognition aka normalizing the number to make statements more comparable among peers.


Hope this helps! Feel free to reach out in case further assistance is required.

Regards,
Shubham Shresth
Data QA Analyst, Seeking Alpha