Definition
Non-GAAP profitability measure – A company-defined add-back to IFRS/GAAP net income (loss), typically excluding share-based compensation expense (and its allocated tax effect) plus one-time IPO-related charges, meant to show "recurring" profitability without non-cash equity-comp costs. Useful for isolating operating trends from a compensation policy, but a company can swing from a large statutory net loss to a positive Adjusted Net Income purely by excluding a large stock-comp charge that is still a real cost to existing shareholders through dilution. Found In: MD&A (non-IFRS/non-GAAP reconciliation)