Summary
Mastercard Inc. filed an 8-K report on August 1, 2012, primarily to disclose its second-quarter financial results for the period ending June 30, 2012. The report indicates that a press release and presentation discussing these results were made public on the same date, accompanying a conference call for investors. A key aspect of the disclosure involves the presentation of non-GAAP financial measures, specifically excluding provisions for potential litigation settlements from operating expenses, operating income, net income, and earnings per share. Mastercard's management utilizes these adjusted figures to provide a clearer view of ongoing operational performance and facilitate period-over-period comparisons.
Key Highlights
- 1Mastercard announced its second-quarter 2012 financial results on August 1, 2012.
- 2The company issued a press release (Exhibit 99.1) and a presentation (Exhibit 99.2) detailing its Q2 2012 performance.
- 3A conference call was scheduled for August 1, 2012, to discuss the Q2 results.
- 4The filing highlights the use of non-GAAP financial measures, excluding provisions for financial litigation settlements.
- 5These non-GAAP measures are presented for operating expenses, operating income, net income, and earnings per share on a pro forma basis.
- 6Management uses these adjusted figures to evaluate ongoing operations and facilitate comparisons, believing they aid in understanding operating performance.
Frequently Asked Questions
The main purpose of this 8-K filing is to publicly disclose Mastercard's financial results for the second quarter ended June 30, 2012, along with providing context for how these results should be analyzed, particularly concerning litigation-related provisions.
Mastercard is providing non-GAAP financial information to offer investors a clearer view of its ongoing operational performance. By excluding provisions for potential litigation settlements, management aims to present results that are more comparable across periods and better reflect the underlying business operations, excluding one-time or uncertain charges.
The non-GAAP financial measures presented exclude provisions for the financial portion of potential litigation settlements made during the three and six-month periods ended June 30, 2012. This exclusion applies to total operating expenses, operating income, net income, and earnings per share on a pro forma basis.
The detailed financial results are available in the press release filed as Exhibit 99.1, and the presentation used for the investor conference call is filed as Exhibit 99.2 to this 8-K report.