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Every single public company is well versed in accounting shenanigans, often to the tune that you almost can't figure out anymore whether someone is making a pro
by charlesdm 9y ago
Every single public company is well versed in accounting shenanigans, often to the tune that you almost can't figure out anymore whether someone is making a profit or not.
Also, an accounting loss isn't always a "real" loss. For example, with the recent tax overhaul, some companies booked unexpected losses because they had significant carry forward losses. Those were reduced in value because the corporate tax rate went down. But essentially nothing changed -- yes the tax base and book value of these losses were adjusted, but no cash was lost.
They can also push revenue or profits back or pull it forward. It really is a jungle out there.