In responding to regulatory pushback to uses of non-GAAP accounting, the majority of companies made changes to how prominently they displayed such figures, according to a recent analysis of non-GAAP disclosures by S&P 500 companies.
A new report from Audit Analytics based on second-quarter 2015 filings shows 202 companies among the S&P 500 presented one or more data points derived following non-GAAP accounting more prominently than the accepted GAAP number. That’s a violation of the provisions that allow companies to present non-GAAP data in ways that would not be misleading to investors.
