Q: Hi Team,
What's your take on WCP earnings? Revenue, production looked record to me. However, it looks like net income was hit due to a non-cash charge related to the acquisition. Were analysts not expecting this charge? Also, as a general question if analysts did not expect this...why not? I know I have seen this many times and it always makes me scratch my head why accounting like this would not be communicated to analysts prior to earnings releases.
What's your take on WCP earnings? Revenue, production looked record to me. However, it looks like net income was hit due to a non-cash charge related to the acquisition. Were analysts not expecting this charge? Also, as a general question if analysts did not expect this...why not? I know I have seen this many times and it always makes me scratch my head why accounting like this would not be communicated to analysts prior to earnings releases.
5i Research Answer:
We have comments posted now; management has fairly wide discretion with taking one-time charges....