Do women mind the non-GAAP? Board gender diversity and non-GAAP disclosure quality

Abstract

[eng] We examine whether board gender diversity promotes high-quality non-GAAP disclosures.</p><p>Specifically, we use two recently-developed measures that capture key characteristics of financial reporting</p><p>quality, namely consistency and comparability in non-GAAP reporting. We find that gender-diverse boards</p><p>are more effective at ensuring both consistency and comparability of non-GAAP earnings disclosures. Our</p><p>results will help investors to understand the information communicated by non-GAAP reporting. They also</p><p>will guide standard-setters and regulators as they determine standards and guidelines that lead to better</p><p>outcomes for investors.