Earnings Call & Finance Glossary
Plain-English definitions of the terms that come up on earnings calls and in financial reports — each one paired with a real example pulled from an actual earnings call transcript.
10-K
Annual SEC report.
SEC Filings10-Q
Quarterly SEC report.
SEC FilingsBeat & Miss
Above/below estimates.
ReportingCapital Expenditure (CapEx)
Spending on long-term assets.
Capital AllocationCost Cutting
Reducing expenses.
Management LanguageEBITDA
Operating profit proxy.
MetricsEPS (Earnings Per Share)
Net profit per share.
MetricsExpected Move
Priced-in earnings swing.
OptionsFree Cash Flow (FCF)
Cash left after capex.
MetricsGAAP vs Non-GAAP
Standard vs adjusted figures.
ReportingGross Margin
Product-level profitability.
MetricsGuidance
Management's forward outlook.
ReportingHeadwind
A negative pressure.
Management LanguageImplied Volatility (IV)
Expected price swings.
OptionsIV Crush
Post-earnings IV drop.
OptionsMargin Expansion
Rising profitability.
MetricsOperating Margin
Core-operations profitability.
MetricsPrepared Remarks
Scripted opening section.
Call StructurePricing Power
Ability to raise prices.
Management LanguageRaised Guidance
Upgraded outlook.
ReportingRevenue Growth
Top-line trajectory.
MetricsShare Buybacks
Repurchasing own shares.
Capital AllocationTailwind
A supportive force.
Management LanguageYear-over-Year (YoY)
Same period, prior year.
Metrics