What are one-time accounting items and why are they adjusted in EPS?

One-time accounting items are unusual, non-recurring financial transactions that can significantly impact a company's reported income for a particular period. These can include gains or losses from the sale of assets, restructuring costs, or charges related to legal settlements. They are adjusted in EPS (Earnings Per Share) to provide a clearer picture of a company's ongoing profitability. By removing these one-time items, investors and analysts can better assess the company's financial performance and make more accurate predictions about its future earnings.

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"Earnings Per Share (EPS), adjusted to remove one-time accounting items, is a valuable benchmark for measuring how well a stock is performing based on whether the EPS meets, misses or beats analyst's predictions. This will have a substantial impact on short-term share prices. It also provides valuable insight into whether the company is living up to Wall Street's expectations."

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Quarterly Report (Part 1)

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