Do Investors Value Auditor Involvement in Non-GAAP Reporting?

• 成果类型: Article; Early Access
• 署名作者: Lamoreaux, Phillip T.; Matkaluk, Lauren; Sheneman, Amy G.
• 署名单位: Arizona State University; Arizona State University-Tempe; University of San Diego; University System of Ohio; Ohio State University
• 刊物名称: JOURNAL OF ACCOUNTING RESEARCH
• ISSN/ISSBN: 0021-8456; 1475-679X
• DOI: 10.1111/1475-679x.70064
• 发表日期: 2026-04-27
• 关键词: non-GAAP reporting; auditor involvement; voluntary disclosure; non-GAAP exclusions; credibility; internal control weaknesses; earnings; INFORMATION; disclosure; management; forecasts

摘要

This paper examines investors' perceptions of auditor involvement in non-GAAP reporting as captured by non-GAAP disclosures in 10-K filings. We find that firm-years with auditor involvement in non-GAAP reporting have higher CARs, lower bid-ask spreads, lower stock volatility, and lower abnormal trading volume on 10-K filing dates. To sharpen identification of auditor involvement, we hand-collect non-GAAP measures and reconciliations for S&P 500 firms and identify which exclusions reconcile directly to the audited financial statements. As the percentage of exclusions that reconcile directly to the audited financial statements increases, bid-ask spreads and stock volatility on 10-K filing dates decrease. We find that the results are not driven by strategic reporting or managers' responses to perceived litigation risk. This study provides new insights into non-GAAP disclosures outside of earnings announcements, which have been largely ignored in prior literature. Collectively, our results suggest investors value auditor involvement in non-GAAP reporting and inform policymakers and standard setters considering the usefulness of assurance over non-GAAP measures.