Overview of IFRS S1 & S2 Sustainability Reporting Standards
Sustainability reporting has evolved significantly, moving from voluntary corporate social responsibility (CSR) reporting – often used to highlight ethical practices and community engagement – to a set of mandatory, investor-focused disclosures aligned with financial reporting standards. Sustainability reporting, in its early stages, lacked consistency and comparability, limiting its usefulness to investors and stakeholders seeking to […]
BEPS and Pillar 2 – What you need to know
Companies around us with a turnover exceeding SEK 7 billion are working on their report and analysis of Pillar 2. This is, to say the least, a complicated area, and most companies seek some form of assistance with it. This article introduces BEPS- Pillar 2 and highlights how we at AARO can support our clients. […]
Demystifying Digital Financial Reporting for better comparability and analysis
In recent years, there have been many changes with new concepts in the reporting frameworks as regulators strive to assert their authority and ensure the free flow of information on financial reports for listed companies in various capital markets across the world. This has created a need for solutions that enable capital market participants, regulators […]
Key Considerations for Earnouts: Accounting Implications Under IFRS 3
Over the past few years, there has been an increase in acquisition agreements that include clauses requiring certain conditions to be met before considerations are paid.According to PwC, global activity in mergers and acquisitions has been at a low level during the first half of 2024[1]. Our observation is that this trend is a response […]
Successfully finalizing our Pilot Sustainability Project with a customer!
During the spring of 2024, we launched a pilot project to implement a Sustainability Note Package with a customer. The Accounting expert panel was assigned a task top develop a reporting package within sustainability during 2023, which resulted in a set of nearly 100 notes and key performance indicators split about 50% on climate, and […]
Disclosure of Management-defined Performance Measures (MPMs) under IFRS 18
In the past, entities have defined and voluntarily presented their own measures of performance, commonly referred to as alternative performance measures (APMs) or non-GAAP measures, in their financial statements. To support the new statement of profit or loss structure and ensure the reported balances are well corroborated, IFRS 18 Presentation and Disclosure in Financial Statements […]
Introducing IFRS 19 Subsidiaries without Public Accountability: Disclosures
In a rapidly evolving financial landscape, the introduction of IFRS 19 promises to revolutionize how subsidiaries manage their accounting by simplifying disclosure requirements. IFRS 19 was Issued in May 2024 and is effective from January 1, 2027. It offers eligible entities the option to apply reduced disclosures while maintaining essential recognition and measurement standards. By […]
A more structured statement of profit or loss under IFRS 18
To improve the structure of the statement of profit or loss, IFRS 18 Presentation and Disclosure in Financial Statements introduces: These changes do not affect the overall financial performance of a company. However, companies must carefully analyse these changes and assess their potential impact on their accounting and reporting processes and systems. Please read our […]
Summary of IFRS 18 — Presentation and Disclosure in Financial Statements
IFRS 18 responds to emerging challenges in disclosure Why introduce a new standard for the presentation and disclosure of financial statements? Many users, including investors, have voiced the need for adjustments to the standard to address various shortcomings, key among them being the difficulty investors face when comparing statements of financial performance of different companies due to […]
