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FINANCIAL TERMS

Full-Year Guidance

Description

Full-year guidance means a company’s forecast for its financial performance over the entire fiscal year. In simple terms, full-year guidance tells investors what management expects for the whole year. Full-year guidance is important because it gives a broader view than one quarter. Investors use it to understand whether the company expects growth, margin improvement, or business challenges over the year. For example, a company may guide for full-year revenue of $40 billion and adjusted EPS of $6. Full-year guidance is not fixed forever. Companies may raise, lower, or withdraw guidance if conditions change.