Whether you want to explain your company’s progress towards its stated goals to potential investors or if you have acquired a new company and want to track its progress against stated goals, having a good set of financial and non-financial KPIs is essential.
A good KPI has the following characteristics: clear definition; linked to strategic priorities, relevant for your company, historical development and performance, and targets.
PwC can assist you in identifying, defining and benchmarking KPIs for your company.
Your Investor Relations website is an important marketing and information source for investors and stakeholders. Make sure you are in compliance with requirements and meet analysts’ and investors’ expectations. Through effective communication you can build greater trust and confidence with your investors and increase their understanding of your business and story.
We can assist and advise you with the content to make sure the investor relations page is in accordance with best practices and regulations.
Alternative Performance Measures (APMs)
APMs are also known as non-GAAP financial measures. They cover a broad range of areas that can be relevant to the performance of your company, but are generally not defined in accounting standards or law. Most listed companies now use non-GAAP measures, where the communicated APMs numbers often differ from the statutory figures from the financial statements.
The topic of alternative performance measures regularly appears in the financial press and on the regulators’ agenda, and this is understandable given the varied uses for, and opinions on such measures.
PwC Accounting Advisory can help align your reporting of APMs to what is important to your business and users, ensuring that the quality of definitions, explanations, and reconciliations will improve the transparency of your reporting to external stakeholders in compliance with the relevant guidance.
xBRL and ESEF (European Single Electronic Format)
By January 2020 all companies with listed securities (equity or bonds) on a regulated market in the EU will be required to prepare an annual report in an electronic format. However, the implementation of the ESEF will most likely be delayed until 2021 in Norway. In Norway this will affect all companies that have listed securities on Oslo Børs and Axess and companies that are planning such listing shortly thereafter.
In short, consolidated financial statements in accordance with IFRS must be labelled with iXBRL “tags” that makes the disclosures machine-readable. This will increase the comparability and usability of financial information as investors can easily extract the tagged data and enhance the transparency of the capital markets.
We can assist you with the implementation of European Single Electronic Format (ESEF) requirements, suggest potential IT solutions and advice about their relative benefits.