exceptional item

USAGE SUMMARY

The phrase "exceptional item" is correct and usable in written English.
It is typically used in financial contexts to refer to a significant event or transaction that is not part of the regular operations of a business and may affect its financial results. Example: "The company reported an exceptional item in its financial statements, which significantly impacted its net income for the quarter."

✓ Grammatically correct

Formal & Business

News & Media

Human-verified examples from authoritative sources

Exact Expressions

4 human-written examples

That represented a £6m fall on the previous year's operating profit but should also be seen in the context of one exceptional item, an £8m digital investment.

The Guardian

But the difference between them has been growing again.Although there is no single correct way to calculate the accounting cost of an employee share option, and the FASB's method is a compromise, options are clearly not an exceptional item.

The Economist

Danone announced the exceptional item at the end of January.

Forbes

A directors' report said the payment to Firoka was an "exceptional item" in the accounts and would not be repeated.

BBC

Human-verified similar examples from authoritative sources

Similar Expressions

54 human-written examples

A year ago, the newspapers lost £37.8m before exceptional items.

The Guardian

TMG recorded costs attributable to exceptional items of £47.1m last year.

The Guardian

Total operating profit before exceptional items was £104.8 million (2009 £110.8 million).

The Guardian

Profit before taxation, good will, amortization and exceptional items rose 36percentto to £8.43 billion ($13.8 billion).

The New York Times

Excluding exceptional items, Hornby swung to a £3.4m loss from a £250,000 profit a year earlier.

The Guardian - Business

Stripping out exceptional items, profit was flat at £364m, slightly ahead of City forecasts.

The Guardian - Business

Last year the bank earned 1.2 billion euros before taxes and exceptional items.

The New York Times

Expert writing Tips

Best practice

When analyzing financial statements, always consider the impact of "exceptional items" separately to understand the true underlying performance of the business.

Common error

Don't assume that excluding "exceptional items" always provides a better view of performance. Sometimes, these items reflect real, albeit infrequent, costs or gains that should be considered when assessing overall financial health.

Linguistic Context

The phrase "exceptional item" primarily functions as a noun phrase in financial reporting. It identifies specific, unusual events that have a significant impact on a company's financial results. As Ludwig AI indicates, it's crucial for understanding the overall financial picture.

Expression frequency: Rare

Frequent in

News & Media

50%

Formal & Business

50%

Science

0%

Less common in

Academia

0%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

In summary, "exceptional item" is a noun phrase used in finance to denote significant, infrequent events affecting a company's financial statements. Ludwig AI confirms its grammatical correctness, although its usage is relatively rare. Primarily found in formal business and news contexts, it helps provide a clearer understanding of a company's underlying performance by separating unusual occurrences. When interpreting financial data, be sure not to underestimate the value of considering items that are deemed "exceptional".

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

extraordinary item

Replaces "exceptional" with "extraordinary", emphasizing the unusual nature of the item.

unusual item

Uses "unusual" instead of "exceptional", highlighting the uncommon occurrence of the item.

one-time item

Focuses on the non-recurring aspect of the item, implying it won't happen again.

non-recurring item

Similar to "one-time item", stressing that the item is not expected to repeat.

special item

A more general term that indicates the item is noteworthy or distinct from regular items.

infrequent item

Highlights the rare or seldom nature of the item.

abnormal item

Suggests the item deviates from the norm or standard expectations.

isolated event

Describes the item as a standalone occurrence, unrelated to ongoing operations.

uncommon transaction

Focuses on the transaction aspect, emphasizing its rarity.

irregular event

Highlights the deviation from the regular course of events.

FAQs

How does an "exceptional item" affect a company's financial statements?

An "exceptional item" can significantly distort a company's reported earnings, making it crucial to analyze financial statements both with and without these items to understand the underlying performance.

What's the difference between an "exceptional item" and an extraordinary item?

While the terms are often used interchangeably, "exceptional item" generally refers to significant, infrequent events within the normal course of business, whereas extraordinary items are even more rare and outside the typical business activities. In many accounting standards, the separate classification of extraordinary items is no longer permitted, making "exceptional item" the prevalent term.

What are some examples of "exceptional items" in accounting?

Examples of "exceptional items" include restructuring costs, significant asset write-downs, gains or losses from the sale of a business segment, or the impact of a major regulatory change.

Where can I find information about "exceptional items" in a company's financial reports?

"Exceptional items" are typically disclosed in the notes to the financial statements, providing details about the nature and financial impact of these events.