Get Ready for IFRS 18: What You Need to Know
In April 2024, the International Accounting Standards Board (IASB) introduced IFRS 18, which replaces IAS 1 – Presentation of Financial Statements. While some changes may seem minor at first, the impact on financial reporting and disclosures is significant, making early preparation essential.
Download Get ready for IFRS 18
This publication sets out a high-level overview of IFRS 18’s new requirements, along with practical insights into the application challenges.
Key Changes & Implications
- Effective Date & Transition: IFRS 18 applies to annual reporting periods starting on or after 1 January 2027, with early adoption allowed. Entities will apply it retrospectively and restate comparatives, but quantitative adjustments for each line item are not required in the current period.
- Presentation & Disclosures: The standard emphasizes how profit or loss is presented and introduces enhanced disclosure requirements, particularly for non‑IFRS performance measures. While straightforward in principle, applying these changes can be complex for diverse operations.
Why Early Preparation Matters
Preparing now helps ensure smooth implementation, avoids rushed transitions, and maintains stakeholder confidence. Ignoring early planning could lead to incomplete disclosures or inconsistencies in prior-period reporting.
How We Can Support You
Our team can assist with:
- Assessing your current financial statements against IFRS 18
- Designing a transition plan, including restatement of comparatives
- Reviewing metrics and non‑IFRS performance measures
- Aligning with group or global reporting requirements
- Training your finance teams for a seamless adoptio
IFRS 18 is more than a technical update, it’s an opportunity to strengthen transparency and confidence in your financial reporting. Start planning today to stay ahead.