CSA Publishes Final Non-GAAP And Other Financial Measures Rule

On May 27, 2021, the Canadian Securities Administrators (CSA) published the final forms of National Instrument 52-112 Non-GAAP and Other Financial Measures Disclosure (NI 52-112) and its related companion policy (the Companion Policy), which provide binding disclosure requirements and associated guidance for non-GAAP (generally accepted accounting principles) and certain other financial measures disclosed by reporting issuers and certain other issuers.

NI 52-112 and the Companion Policy will replace the existing CSA guidance on non-GAAP financial measure disclosure in CSA Staff Notice 52-306 (Revised) Non-GAAP Financial Measures (SN 52-306) and are expected to come into effect on August 25, 2021. The transition provisions of the final NI 52-112 state that it will not apply to disclosures by reporting issuers in respect of documents filed for financial years ending before October 15, 2021, as well as to certain disclosures made by non-reporting issuers until after