Premium
Cross‐country diversity and non‐IFRS financial performance measures
Author(s) -
Clinch Greg,
Tarca Ann,
Wee Marvin
Publication year - 2023
Publication title -
accounting and finance
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.645
H-Index - 49
eISSN - 1467-629X
pISSN - 0810-5391
DOI - 10.1111/acfi.12980
Subject(s) - leverage (statistics) , international financial reporting standards , business , accounting , volatility (finance) , mergers and acquisitions , finance , machine learning , computer science
We investigate the disclosure of non‐IFRS performance measures by 400 companies from eight countries using IFRS Standards (Australia, France, Germany, Hong Kong, Italy, Singapore, Sweden and the United Kingdom) in the years 2005, 2008, 2011 and 2013 (1595 company‐years). The incidence of disclosure is higher in UK and France but lower in Hong Kong, Germany and Singapore. Exclusions relating to impairment, tax, and mergers and acquisitions are frequent. Firms making non‐IFRS disclosures are more likely to be larger, have higher leverage, and exhibit greater volatility in their reported income. Additional tests show national reporting traditions and practices affect non‐IFRS disclosures.