IFRS has caused profit swings of about 12% at Europe’s largest companies, according to research by investment bank UBS.
The analysis quantifies the significant changes to the key indicators of corporate performance brought about by the new standards.
The survey of 27 companies that have restated their 2004 earnings showed that some have enjoyed a substantial boost to profits, while other have had their earnings cut, the The Financial Times reports.
According to the report, Britain’s Imperial Chemical Industries was the largest beneficiary, with a 93% increase in earnings to £474m, while Telecom Italia suffered the biggest hit to earnings, which fell 22%.
UBS excluded the impact of the scrapping of goodwill amortisation in its calculations, as the markets have always ignored this non-cash charge.
UK senior partner Phil Verity has been elected for a second term at Mazars
An audit partner has been appointed at Grant Thornton in its North West offices
KPMG has been appointed with “immediate” effect as the auditor of Dorcaster
The audit for Ibstock will be taken over by Deloitte following a competitive tender process