Non-Recurring Gain Or Loss
Categories: Accounting
Companies report these all the time. Usually the loss part. Like...they'll report a one-time charge for a credit card data breach that is certainly, definitely, for sure, never gonna happen again, because it was non-recurring.
One time. That's it.
Had they not lost that $32 million in the quarter from the data breach, they'd have earned $27 million. But alas, they lost $5 million. The problem? "Non-recurring" isn't really "non." Like...does anyone believe that data breach problems are now solved and fully a thing of the past? We don't.
So the notion of non-recurring is deceiving. Buyers of related stocks? Yeah, caveat the crap out of emptor.