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GAAP vs non-GAAP explained in 60 seconds, with a Broadcom example

1:00

$ cat guide.md

  1. The same quarter can produce two different profit numbers, and the difference is not an accounting trick.
  2. GAAP follows the standard; non-GAAP excludes items management considers non-operational, most often stock-based compensation and acquisition effects.
  3. Broadcom's reported figures are used to show the size of the gap rather than describe it in the abstract.
  4. Sixty seconds, because the concept does not need longer once the two numbers are on screen together.