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Why We Need to Update Financial Reporting for the Digital Era

Harvard Business Review

In our recent HBR article , we argued that financial statements fail to capture the value created by modern digital companies. Since then, we interviewed several chief financial officers (CFOs) of leading technology companies and senior analysts of investment banks who follow technology companies.

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A Blueprint for Digital Companies’ Financial Reporting

Harvard Business Review

In a recent HBR article , we claimed that modern digital companies such as Uber, Facebook, and Alphabet play an increasingly important role in the economy, but their financial statements fail to capture company’s main value drivers. The analyst can then top that valuation with the option values of moonshot projects.

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