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MetroPCS Communications, Inc. Message Board

  • bird_empire bird_empire Feb 8, 2013 9:25 AM Flag

    'Pro Forma' Financial Statements: Caution!

    Investopedia explains…
    Pro forma financial statements could be designed to reflect a proposed change, such as a merger or acquisition, or to emphasize certain figures when a company issues an earnings announcement to the public.

    Investors should be careful when reading a company's pro-forma financial statements, as the figures may not comply with generally accepted accounting principles (GAAP). In some cases, the pro-forma figures may differ greatly from those derived from GAAP.

 

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