Nancy Anderson, vice president of financial reporting and CFO at RealPAC, participated in a video interview during Nareit’s REITwise: 2024 Law, Accounting & Finance Conference held March 19-21 in Hollywood, Florida.
Anderson discussed the anticipated developments in the primary financial statements project, particularly focusing on IFRS 18 presentation and disclosure standards. Anderson highlighted the inclusion of new subtotals in income statements, emphasizing operating profit and profit before financing and tax.
She expressed concerns about the broad definition of the operating category, which may encompass volatile or unusual items, and noted the requirement for investing categories to include joint ventures and associates' results.
Anderson emphasized the significance of illustrative examples accompanying the standards, particularly for real estate entities, urging clarity on their non-authoritative nature. Regarding the adoption of FFO reporting in Canada, she suggested its likely inclusion as a management performance measure due to its relevance in public communications.
Anderson touched upon the collaboration between the IASB and ISB on the management commentary project, indicating ongoing analysis of public feedback to determine the involvement in integrated reporting initiatives.