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Pro Forma Financial Statement
(redirected from Pro Forma Income Statement)

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Pro Forma Financial Statement
A financial statement that a company prepares to consider the effects of a potential activity. For example, if a company is considering acquiring another, it may prepare a pro forma financial statement to estimate what effect the acquisition would have on its own financial circumstances. A pro forma financial statement can be part of the risk analysis of a situation. See also: Due diligence.

pro forma financial statement
A financial statement constructed from projected amounts. A firm might construct a pro forma income statement based on projected revenues and costs for the following year. Likewise, a firm may wish to develop a set of pro forma statements to determine the effect of a projected stock buyback.


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Along with the Cash Budget, this Excel-based Pro Forma Income Statement summarizes the results of all the information needed to interpret variance and cost-volume-profit (CVP) analyses, and the Pro Forma Balance Sheet provides the numbers that you'll use as the starting point for next year's budget.
The pro forma income statement (unaudited) for the full year 2006 has been prepared assuming that the combination with Gemplus had taken place as of January 1, 2005, allowing the Group to present a relevant comparison with the full year of 2005.
The pro forma income statement (unaudited) for the full year 2006 has been prepared assuming that the combination with Gemplus had taken place as of January 1, 2005, allowing the Group to present a relevant comparison with the full year of 2005.
 
 
 
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