In a series of posts, we have discussed mounting evidence that, with 90% of U.S. public companies using custom metrics, non-GAAP presentations are becoming a de-facto alternative accounting system. In a May speech, Mark Kronforst, chief accountant of the SEC’s Division … Continue reading
Category Archives: Quality of Reporting
PCAOB Member Updates Internal Control Analysis
At this year’s Annual Meeting of the American Accounting Association (AAA) held in New York City, Jeanette M. Franzel of the PCAOB presented an update on trends and issues concerning the COSO framework and Internal Control over Financial Reporting (ICFR). The presentation covered issues and … Continue reading
Hain Delays Filing: What to Expect
Hain Celestial Group (NASDAQ: HAIN) announced on Monday, August 15 that it would delay the release of its fourth quarter and fiscal year 2016 financial results. The reason? The company was investigating certain revenue arrangements with distributors. During the fourth quarter, the … Continue reading
Update on “SEC Comment Letters: A Five Year Trend” (2015)
Last year we published a blog post reporting on the significant decline in the number of SEC comment letters that refer to issues in 10-K and 10-Q filings. In this post, we look at comment letters from 2015 to see if that trend continued. The … Continue reading
Conflict Minerals Update: Year 3 Brings Better Reporting
Note: This blog has been modified from its original version to clarify the distinction between reports that reached a “conflict-free” determination based on RCOI alone versus those that were based on an IPSA. This past spring marked the third year that Form SD Conflict Minerals disclosures … Continue reading
Disclosing the Impact of “Brexit”
Following the historic UK referendum on June 23, some analysts indicated that, up to that point, only a handful of companies had provided risk factors related to the potential consequences of a “Brexit”. Since then, the volume of such disclosures … Continue reading
Use of Non-GAAP in Proxy Statements
Non-GAAP is the issue du jour, and the past month stuck with the theme. One of the most significant bits of news came directly from the SEC. On May 17, the watchdog released an additional interpretation of Regulation G, which comprises the rules that govern the use … Continue reading