Categories: Miscellaneous

IASB: Improved IFRS Standard to Capture Rate-Regulated Companies’ Performance

IASB: Improved IFRS Standard to Capture Rate-Regulated Companies’ Performance

The International Accounting Standards Board (IASB) has published proposals for a new International Financial Reporting Standards (IFRS) standard that would give investors better information about financial performance of rate-regulated companies.

Rate regulation means that companies – in sectors such as utilities and public transport – are subject to limitations around the amount they may charge their customers and when they may do so. In some cases, the period when a company supplies goods or services differs from the period when it can charge for them, making any given reporting period an incomplete snapshot. Those differences in timing are not covered by current IFRS standards.

Under the proposal, companies would be required to report regulatory assets and regulatory liabilities in their balance sheet, and related regulatory income and regulatory expense in their income statement, allowing investors to assess the contribution of timing to cash flows.

IASB: Improved IFRS Standard to Capture Rate-Regulated Companies’ Performance
Share
iXBRLSupport

Published by
iXBRLSupport

Recent Posts

TNFD and EFRAG enhancing nature-related disclosures

TNFD and EFRAG publish correspondence mapping, enhancing nature-related disclosures. Read More

1 year ago

ESAs opinion on SFDR

ESAs propose enhancements to SFDR Earlier this month the European Supervisory Authorities (EBA, EIOPA, and… Read More

1 year ago

ISSB furthers sustainability disclosure harmonization

ISSB furthers sustainability disclosure harmonisation with focus on transition planning. Read More

1 year ago

Netherlands mandates XBRL filings from 2025

Netherlands mandates XBRL filings of annual accounts from 2025 for all private companies with the… Read More

1 year ago

XBRL Conversion of BRSR Report

XBRL Conversion of BRSR Report In today's digital age, the financial reporting landscape has witnessed… Read More

2 years ago

What is inline XBRL or iXBRL

Learn what is inline XBRL or iXBRL - A markup language used for financial reporting.… Read More

3 years ago