Appendix J — Roadmap Updates for 2025
The table below summarizes the
substantive changes made in the 2025 edition of this Roadmap.
|
Section
|
Title
|
Description
|
|---|---|---|
|
Added
discussion of recent accounting standard-setting activity,
including the FASB’s ITC and IFRS 18.
| ||
|
Who Uses Non-GAAP Measures?
|
Updated statistics on prevalence of non-GAAP reporting.
| |
|
Foreign Private Issuers
|
Clarified that the exception in Regulation G for FPIs does
not apply to filings on Form 20-F or any disclosure of
non-GAAP financial measures made in the United States.
| |
|
Most Directly Comparable Measure
|
Added discussion of limited circumstances in which GAAP
operating income may be reconciled to non-GAAP contribution
margin.
| |
|
4.2.1
|
Presentation
in MD&A of the Impact of CECL
|
Removed
section; discussion obsolete.
|
|
Normal,
Recurring Cash Operating Expenses
|
Added
interpretive guidance on the identification of adjustments
that include normal, recurring cash operating expenses.
| |
|
Individually
Tailored Accounting Principles
|
Updated to
emphasize that adjustments as a result of individually
tailored accounting policies are not limited to revenue
adjustments and provided additional examples of such
adjustments.
| |
|
Non-GAAP
Financial Measures Related to the Impact of Changes in Tax
Law
|
Added
discussion of the One Big Beautiful Bill Act.
| |
|
Credit
Agreement Covenants
|
Added
interpretive guidance on the disclosure of financial
covenants that include non-GAAP measures.
| |
|
Auditor Responsibility for Non-GAAP Measures
|
Added Changing Lanes
to note the issuance of IFRS 18 and related
considerations.
| |
|
Voluntary Inclusion of Additional Non-GAAP
Segment Measures of Profit and Loss in the Financial
Statements
|
Added discussion of considerations applicable to an external
auditor’s responsibility related to the voluntary disclosure
of additional non-GAAP segment measures of profit and loss
in accordance with ASC 280.
|