Adjusted net income, adjusted sales, and adjusted Ebitda are showing up in earnings reports at hundreds of US companies.
Without those adjusted numbers, “third-quarter earnings per share fell 13% for the biggest US companies,” The Wall Street Journal reports.
It cites research from Deutsche Bank, which found that one in 10 major securities filings included the term “adjusted Ebidta.” Ebidta refers to adjusted earnings before interest, taxes, depreciation, and amortization.
“About a quarter of earnings-related filings this year included figures that don’t comply with generally accepted accounting principles, or GAAP, as well as more standard measures,” according to an analysis by The Journal.
