Kudos to AMRN management
After Q4 results, I sent some notes back and forth with Elisabeth Schwartz about their earnings report. AMRN had only reported and has only reported GAAP earnings. If the one time non cash tax item had been excluded from Q4 results to create a non-GAAP earnings report, AMRN would have actually beat analyst estimates. Elisabeth expressed that management did discuss these items on the call which I agreed with. I expressed to her that the analyst do not care about the discussion because they do not go to the trouble of excluding these items if management doesn't do it for them. She told me she would discuss with CEO and CFO and appreciated the request.
First quarter results just came out and they actually did a non-GAAP EPS and Statements. Low and behold, AMRN beat earnings on a non-GAAP basis. Not sure if anyone else noticed that they added this to their press release but I wanted to give AMRN management kudos for listening to an AMRN retail. IMO, This should lead to more stability in the quarterly earnings results.
""Companies commonly supplement their reported earnings under U.S. generally accepted accounting principles (GAAP) with non-GAAP financial measures that they believe more accurately reflect their results of operations or financial position or that are commonly used by investors to evaluate performance. A non-GAAP financial measure is a numerical measure of a company’s historical or future financial performance, financial position or cash flows that includes or excludes amounts from the most directly compa- rable GAAP measure. Non-GAAP financial measures are used by companies to bridge the divide between corporate reporting that is standardized under GAAP and reporting that is tailored to a particular industry or circumstance. "
