Gaap says Cashless Dilution is an expenses assuming the company will perform conscientious share buy back, while Cash-in Dilution is not an expenses without assuming the company will perform conscientious share buy back.
Gaap is blatantly hypocritical publicly towards RSU (a type of SBC).
That's why majority of companies still stick to Non-Gaap reporting.
SBC is not an expenses.
After the vesting period, the dilution stays and SBC gone from the statement.
The EPS as well as OCF are self corrected every time the vesting period of a SBC is executed and over.
SBC is a cashless dilution.
Private placement is a cash-in dilution.
Gaap says Cashless Dilution is an expenses assuming the company will perform conscientious share buy back, while Cash-in Dilution is not an expenses without assuming the company will perform conscientious share buy back.
Gaap is blatantly hypocritical publicly towards RSU (a type of SBC).
That's why majority of companies still stick to Non-Gaap reporting.