Summary
Mastercard Inc. filed an 8-K on July 27, 2017, to announce its second-quarter 2017 financial results. The primary focus of this filing is the accompanying earnings release, which details the company's performance. Importantly, Mastercard provided both GAAP and non-GAAP financial measures, offering investors a clearer view of operational performance by excluding significant litigation provisions. These excluded items include a provision for Canadian merchant litigation in Q1 2017 and a U.K. merchant litigation provision from Q2 2016. The company believes these adjustments enhance the understanding of its ongoing business trends and allow for more meaningful period-over-period comparisons.
Key Highlights
- 1Mastercard announced its second-quarter 2017 financial results on July 27, 2017.
- 2The filing includes an earnings release as Exhibit 99.1, detailing financial performance.
- 3The company presented non-GAAP financial measures, adjusting for significant litigation provisions.
- 4Excluded from non-GAAP measures are a Canadian merchant litigation provision (Q1 2017) and a U.K. merchant litigation provision (Q2 2016).
- 5Mastercard's management uses these non-GAAP measures to evaluate ongoing operations and for internal planning.
- 6The company also presented currency-neutral growth rates as a non-GAAP measure to provide relevant information on performance.
- 7Reconciliations between GAAP and non-GAAP measures are provided in the earnings release.