A non-GAAP financial measure is a numerical metric used by companies to provide investors with additional insight into their financial performance, excluding certain items that are included in the standard Generally Accepted Accounting Principles (GAAP) calculations. These measures often aim to present a more accurate reflection of a company's core operating performance by adjusting for irregular items, such as one-time expenses or non-cash charges. As a result, these measures can be particularly useful in pro forma earnings analysis, where adjustments are made to financial results to better indicate ongoing operational performance.
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