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Pro Forma Financial Statement
(redirected from Pro Forma Statements)

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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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Pro Forma Stance Backed Recently you expressed your view on pro forma statements ("Let's Be Balanced With Pro Forma Earnings," From the President, June 2001).
Captiva's management uses the pro forma statements of operations to monitor results internally, as management believes the pro forma statements of operations provide a more accurate portrayal of operating results.
In order to enhance comparability of the three months ending June 30, 2003 and 2002, pro forma statements for the three months ending June 30, 2002 are presented supplementally as if FASB 142 had been applied for that period.
 
 
 
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