Unusual Costs & One-time Charges

Unusual costs & one-time charges refer to non-recurring expenses that are not part of a company’s normal operations, such as legal settlements, restructuring costs, asset write-downs, or costs related to natural disasters or one-off projects. These items can significantly distort a company’s profitability if not properly identified and adjusted. In the context of M&A, buyers and sellers often normalise financials by excluding such costs to present a clearer picture of sustainable earnings and cash flow.

P4i identifies and adjusts for unusual costs and one-time charges to ensure financials reflect the true, recurring performance of a business in M&A transactions.