Data for Thought

Exceptionals as usual

There are some companies that not only have high exceptionals but it also occurs regularly. We explore the issue and give you some names and figures

Exceptionals as usual

Exceptional profit or loss arises as a by-product of a company's ordinary activities. Some of its sources include currency fluctuations, asset write-downs and money spent on litigation. As the name implies, this income is intermittent and can't be projected or forecast. While analysing the income statement, analysts adjust the profit for exceptional income. However, there are some companies that not only have high exceptionals but it also occurs regularly. This makes analysing such companies and judging their valuations particularly tricky. The following table lists companies that have reported sizeable exceptionals in at least three of the last five years.


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