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The decision to voluntarily provide an IPO prospectus earnings forecast


  • Chris Bilson
  • Richard Heaney
  • John Powell
  • Jing Shi


Conditions under which private firms going public will voluntarily disclose earnings forecasts in initial public offerings prospectuses are explored. The analysis implies younger, riskier companies do not voluntarily forecast earnings because of the potential costs of not performing as well as forecast.

Suggested Citation

  • Chris Bilson & Richard Heaney & John Powell & Jing Shi, 2007. "The decision to voluntarily provide an IPO prospectus earnings forecast," Applied Financial Economics Letters, Taylor and Francis Journals, vol. 3(2), pages 99-102.
  • Handle: RePEc:taf:apfelt:v:3:y:2007:i:2:p:99-102 DOI: 10.1080/17446540600883210

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    Cited by:

    1. McGuinness, Paul B., 2016. "Voluntary profit forecast disclosures, IPO pricing revisions and after-market earnings drift," International Review of Financial Analysis, Elsevier, vol. 46(C), pages 70-83.

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