IFRS 18 Presentation and Disclosure in Financial Statements as at 2024/2025

  

Hello, welcome to IFRS IS EASY!

It is no longer news that IFRS 18 is replacing IAS 1. And you may be wondering how to go about learning the new standard. You are just at the right place, as I have carefully curated resources for your use.

What is IFRS 18 about?

IFRS 18 Presentation and Disclosure in Financial Statements is a new IFRS Accounting Standard that will be effective for annual periods beginning on or after 1 January 2027 with early application permitted. IFRS 18 will replace IAS 1 Presentation of Financial Statements.

The objective of the new standard is to improve how information is communicated in the financial statements, with a focus on information in the statement of profit or loss.

What changes do IFRS 18 bring?

The 3 main changes that IFRS 18 bring are:

• IFRS 18 requires additional defined subtotals in the statement of profit or loss
• IFRS 18 requires disclosures about management performance measures
• IFRS 18 aims to strengthen requirements for disaggregating information

Below is a snapshot of the statement of profit or loss extracted from the draft of the illustrative examples on IFRS 18...emphasis identifying the applicable categories are made by IFRS IS EASY.

IFRS 18 Illustrative financial statements snapshot

This blog post compiles for you guidance made available by thought leaders to help you with the learning and understanding of IFRS 18 Presentation and Disclosure in Financial Statements.

Fun facts:

• IFRS 18 will affect every company that uses IFRS, making it one of the most impactful accounting standards in recent history.
• Companies will now be required to disclose more information about how their management performance measures (such as EBITDA, Return on equity etc.) are calculated.
• IFRS 18 is the first new IFRS accounting standard introduced in seven years (2017 to 2024) since IFRS 17.

The below resources (PDF and illustrative examples) provide comprehensive coverage of IFRS 18, including its key requirements and practical guidance. Whether you're new to IFRS 18 or looking for a refresher, these resources are valuable.

Click the links below to download them.

IFRS 18 Presentation and Disclosure in Financial Statements:

IFRS 18 Pdf

Source: KPMG

KPMG IFRS 18 Presentation and Disclosure in Financial Statements pdf

Source: BDO

BDO IFRS 18 Presentation and Disclosure in Financial Statements pdf

Source: EY

EY IFRS 18 Presentation and Disclosure in Financial Statements pdf

Source: Grant Thornton

Grant Thornton IFRS 18 Presentation and Disclosure in Financial Statements pdf

Source: IASB

IASB IFRS 18 Presentation and Disclosure in Financial Statements pdf

IFRS 18 Illustrative examples

Source: PwC (See pages 5 and 6 in the link below)

PwC IFRS 18 illustrative examples pdf

IFRS 18 Video

Source: IASB

IASB IFRS 18 Video

PS: The "Source" represents the owners of the files shared above (downloaded from their public domain as made publicly available by them) and compiled in a downloadable folder here by IFRS IS EASY for your convenience and learning.

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