Summary
Eli Lilly and Company (LLY) filed an 8-K on January 28, 2016, reporting its financial results for the fourth quarter and full fiscal year ended December 31, 2015. The report primarily disclosed earnings and provided context through a press release and a conference call, both of which are attached as exhibits. A key aspect of the filing is the company's use and explanation of non-GAAP financial measures, such as non-GAAP net income and earnings per share. Lilly uses these measures to provide investors with a clearer view of ongoing operations by excluding the impact of significant acquisitions, divestitures, amortization of intangibles, and other variable or unpredictable items. The company believes these adjusted figures aid in meaningful period-over-period comparisons and trend identification, which are also utilized internally for performance evaluation and resource allocation.
Key Highlights
- 1Eli Lilly announced its Q4 and full-year 2015 financial results on January 28, 2016.
- 2The company utilizes and explains its use of non-GAAP financial measures, including non-GAAP net income and EPS, to present core operational performance.
- 3Non-GAAP measures exclude impacts from acquisitions, divestitures, and amortization of intangibles, which are considered variable and difficult to predict.
- 4Lilly asserts that these non-GAAP measures help investors evaluate ongoing operations and identify trends.
- 5Management uses non-GAAP measures internally for performance assessment and incentive compensation.
- 6A press release and related financial statements for Q4 and FY 2015 are attached as Exhibit 99.1.
- 7The information provided in Item 2.02 is furnished, not filed, for Section 18 purposes.