scholarly journals Going concern in the financial reports of listed companies during the COVID-19 pandemic – the results of an empirical study

2021 ◽  
Vol 45 (3) ◽  
pp. 9-28
Author(s):  
Ewa Chrostowska ◽  
Katarzyna Koleśnik
Keyword(s):  
Stock Exchange ◽  
Financial Statements ◽  
Listed Companies ◽  
Research Approach ◽  
Financial Reports ◽  
Going Concern ◽  
Warsaw Stock Exchange ◽  
Sector Analysis ◽  
The Subject ◽  
The Impact

Purpose: The objective of this article is to assess how many entities have faced going concern problems and to identify what uncertainties may affect a going concern, especially during the COVID-19 pandemic. Methodology/research approach: The subject of the research was financial reports of com-panies listed on the main market of the Warsaw Stock Exchange in the following sectors: clothing and cosmetics, recreation and leisure, and transport and logistics. Thirty-three (out of 37) reports for the first half of 2020 were examined. We analysed the content of full ver-sions of the descriptive parts of financial statements, reports on the auditor’s review and management comment letters. Results: Nearly half of the surveyed entities that declared they were a going concern dis-closed going concern uncertainties. The pandemic affected the scope of disclosures present-ed in the reports. The variety of presentation styles and the selectivity of the place of the disclosure may hinder stakeholders when drawing conclusions. Research limitations/implications: Only three sectors were examined, and the sector analysis was conducted only in listed companies with complete and available reports. We analysed half-yearly reports that were reviewed by statutory auditors. The reports were analysed early in the pandemic. The article may be an inspiration for further research, including comparative research, in companies from the same and other sectors. The issue is vital, all the more so as the impact of the pandemic may change over time. Originality/Value: The article is a practical study of going concern disclosures during the pandemic. The study reveals the multifaceted nature and complexity of the issues related to continuation assessment.

scholarly journals Fair value in the measurement of assets and liabilities of selected banks

2020 ◽  
Vol 107 (163) ◽  
pp. 119-136
Author(s):  
Jerzy Gierusz ◽  
Karolina Dąbrowska
Keyword(s):  
Stock Exchange ◽  
Financial Statements ◽  
Fair Value ◽  
Consolidated Financial Statements ◽  
Warsaw Stock Exchange ◽  
The Subject ◽  
The One ◽  
Subjective Estimates ◽  
The Impact ◽  
Financial Result

The main purpose of this article is to determine the impact of changes in the fair value of assets and liabilities on the overall net result of selected banks listed on the Warsaw Stock Exchange. The research covered the consolidated financial statements of five banks, for the years 2014-2018. Methods of analyzing the literature on the subject, financial statements, and legal acts, including selected IFRS, were used. It has been shown that, on the one hand, fair value revaluations have a significant impact on the financial result of the described entities; on the other hand, the fair value in these entities is determined mainly at the 1st level of the hierarchy. This means that the basis for determining the fair value is observable prices on the market, and that the impact of subjective estimates on the financial result is small.

scholarly journals The disclosure of events after the reporting period. The example of listed companies from selected European countries

2020 ◽  
Vol 109 (165) ◽  
pp. 139-156
Author(s):  
Małgorzata Szulc ◽  
Paweł Zieniuk
Keyword(s):  
Empirical Research ◽  
Financial Reporting ◽  
Stock Exchange ◽  
Financial Statements ◽  
Listed Companies ◽  
European Countries ◽  
Stock Exchanges ◽  
Financial Reports ◽  
Financial Reporting Standards ◽  
Warsaw Stock Exchange

Purpose: The aim of this article is to present a practical study of disclosures of events after the reporting period in the financial reports of listed companies from selected European countries. The paper presents the results of empirical research based on the source material in the form of financial statements for the year 2018 of listed companies included on the following stock exchange indices: DAX, PSI-20, OMX25, BUX, WIG20, which comprise companies listed on the stock exchanges in Germany, Portugal, Denmark, Hungary and Poland. Methodology/approach: The research sample includes 110 companies. Content analysis of full versions of individual financial statements was performed. Findings: The results show that listed companies comply with the International Financial Reporting Standards regarding the disclo-sure of events after the reporting period. The occurrence of such events in the business practice of com-panies listed on the Warsaw Stock Exchange is much more frequent than in other European countries. The results of the study also present the diversity of events disclosed by respective companies included in the sample after the reporting period. Originality/value: The research allowed us to compare the scope of financial reporting disclosures of events after the reporting period in companies listed on the Warsaw Stock Exchange and in other European companies. Comparisons of this kind have not yet been carried out in international empirical research, which makes this article all the more valuable.

scholarly journals Differences Between New Ifrs and Us Gaap Lease Standards and their Effects on Publicly Listed Companies

e-Finanse ◽  
2020 ◽  
Vol 16 (2) ◽  
pp. 14-23
Author(s):  
Karolina Winiarska
Keyword(s):  
Stock Exchange ◽  
Balance Sheet ◽  
Financial Statements ◽  
Listed Companies ◽  
Global Scale ◽  
International Accounting Standards ◽  
Financial Metrics ◽  
Warsaw Stock Exchange ◽  
And Performance ◽  
The Impact

Abstract Leases are quite relevant to a large number of enterprises. Due to the fact that a lease reduces an entity’s exposure to risks inherent in asset ownership, it is a widely used method of obtaining access to property, plant and equipment. At the beginning of this article sources of existence of various international accounting standards as well as primary incentives (estimation of unrecognized lease obligations) to change the previous widespread lease standards used by publicly listed companies are mentioned. The IASB and FASB aware of the importance of this issue, put forward new similar accounting solutions. Despite the joint effort, there are some discrepancies between promulgated IFRS 16 and ASC 842. In the article they are divided into three groups of differences (basic, accounting and other lease issues). The main objective of this article is to point out those differences between new lease standards, as well as their distinct effects on the reporting entities’ financial statements and crucial financial metrics. In particular, the impact of operating lease capitalization on the Warsaw Stock Exchange entities’ assets by sector indices, as well as on EBITDA by industries on the global scale are presented. The article involves research methods such as: analysis of literature, global accounting regulations and financial statements, as well as comparison and deduction methods. The new lease standards have significant impact on those reporting entities with a great number of previous off balance sheet leases. Therefore, Polish sectors such as WIG-ODZIEZ, WIG-TELKOM and WIG-MOTO as well as global industries such as retail, airline and health care are the most affected. This paper may be useful for many users of financial statements (e.g. potential investors), because it provides information about effects of changed lease standards on financial position and performance of the most affected reporting entities.

scholarly journals THE IMPACT OF OWNERSHIP STRUCTURE IN PROMOTING CONTINUITY - APPLIED STUDY OF A SAMPLE ON LISTED COMPANIES IN IRAQI STOCK EXCHANGE

2021 ◽  
Vol 11 (2) ◽  
Author(s):  
Amer Mohamed Salman Al-Janabi ◽  
Hassnain Kadhem Ojah
Keyword(s):  
Ownership Structure ◽  
Stock Exchange ◽  
Research Problem ◽  
Listed Companies ◽  
Specific Class ◽  
Control Environment ◽  
Financial Reports ◽  
Applied Study ◽  
Corporate Governance Mechanisms ◽  
The Impact

The research aims to diagnose the property structure for a sample of listed companies shares in the Iraq Stock Exchange as well as determining the ability of the property structure in the continuity of the company, as the research problem is the effect of the structure of ownership of the corporate sample study in promoting continuity of companies? The research assumed a significant impact of the structure of ownership in enhancing the continuity of the sample of the research, the research reached that the diversity of the property structure is centralized through it is part of corporate governance mechanisms, as it is responsible for specific policies and decisions, which in turn has a solid control environment As well as the powers of the protection of shareholders, as well as the diversity of ownership structure leads to the protection of the interests of economic unity and the interests of all equity holders through that decisions do not have a specific class interests at the expense of the rest of the stock campaign, as well as non-continuity It is the results of many behaviors and non-right decisions and decisions of the ownership structure. The discovery of those factors and indicators contributes to avoiding non-continuation of the samples of the research sample. Those who have 5% stake through special statements are discriminated with financial reports to clearly identify the diversity of the property structure as well as account monitors should give an indication. The landmarks are clear in their reports and their views are clearly and impressed with regard to the imposition of continuity of economic units listed on the Iraq Stock Exchange.

scholarly journals The Economic Effect of the Pandemic in the Energy Sector on the Example of Listed Energy Companies

Energies ◽  
2021 ◽  
Vol 15 (1) ◽  
pp. 158
Author(s):  
Edyta Rutkowska-Tomaszewska ◽  
Aleksandra Łakomiak ◽  
Marta Stanisławska
Keyword(s):  
Power Plants ◽  
Stock Exchange ◽  
Research Question ◽  
Economic Effect ◽  
Financial Statements ◽  
Energy Sector ◽  
Electricity Production ◽  
Warsaw Stock Exchange ◽  
Energy Companies ◽  
The Impact

The study posed a research question: did the situation caused by COVID-19 affect the economic position of energy companies? The aim of the study is to investigate the impact of the situation of the epidemic state introduced in 2020 on the activities of the efficiency of energy sector companies. The subject of the research will be the ten largest Polish power plants in terms of electricity production, including four capital groups to which they belong. Financial data from 2014 to 2020 will be used for the research. To test the effectiveness, the tools of the ratio analysis will be used. The analysis of the financial statements in terms of investments in manufacturing activities confirms the hypothesis that companies investing in new solutions and technologies will be best prepared for an exceptional situation. The results of the research show that those capital groups which in the period preceding the outbreak of the epidemic made the largest investment outlays and at the same time their financial ratios and market valuation on the Warsaw Stock Exchange were the highest, they also achieved the highest financial results during the pandemic—they had the most favorable economic situation.

scholarly journals The Impact of the Application of International Accounting Standard 34 (IAS 34) on the Industrial Public Shareholding Companies’ Sector in Jordan

2019 ◽  
Vol 5 (4) ◽  
pp. p404
Author(s):  
Maen Yousef Khalaf Hijazin ◽  
Dr. Saeed Mikhled Ahmad Al-naimat
Keyword(s):  
Financial Reporting ◽  
Stock Exchange ◽  
Financial Statements ◽  
Simple Random Sample ◽  
Individual Investors ◽  
Financial Reports ◽  
Industrial Companies ◽  
Occupational Characteristics ◽  
Study Population ◽  
The Impact

This study aims at identifying the extent to which IAS 34 (Interim financial reporting) is applied in the Jordanian public shareholding companies, along with highlighting the impact of its application on individual investors at these companies. Study population consists of all Jordanian public shareholding industrial companies (45 companies) listed at Amman Stock Exchange. Due to the large number of the study population, preparers of financial statements (employees of companies), and individual investors, we have selected a simple random sample. The total number of preparers of financial statements (employees), and individual investors were (500) individuals who were selected for the sample. The results showed that all companies are committed to issue and publish interim financial reports within the period specified for that purpose. There is a statistically significant relationship between the variables relevant to the company including (the firm's nature, profitability, and age) and the compliance with issuing the reports and the information content of the financial statements. Moreover there are statistically significant differences in the extent to which IAS 34 is applied in the Jordanian public shareholding companies. These differences arise due to the personal and occupational characteristics of the preparers of financial statements (gender, age, qualification, position, and experience).

scholarly journals Environmental issues as a non-financial reporting area using the example of selected companies listed on the Warsaw Stock Exchange

2020 ◽  
Vol 64 (9) ◽  
pp. 45-56
Author(s):  
Hanna Czaja-Cieszyńska
Keyword(s):  
Financial Reporting ◽  
Raw Materials ◽  
Stock Exchange ◽  
Secondary Data ◽  
Environmental Issues ◽  
Financial Indicators ◽  
Financial Reports ◽  
Warsaw Stock Exchange ◽  
Financial Disclosures ◽  
The Impact

The purpose of this article is to assess the comparability of non-financial disclosures on the impact of economic activity on the natural environment in reports of selected companies listed on the Warsaw Stock Exchange. The ten largest listed companies listed in the WIG-20 index were selected for the study. The analysis of the reports was based on the following disclosure categories: Materials and raw materials, Fuels and energy, Water, Biodiversity, Emissions to the atmosphere, Waste and Effluents, and Others. Within these categories, 14 key environmental non-financial indicators were defined. The empirical study carried out confirmed that the non-financial reports analyzed in all of the seven categories of disclosures were not fully comparable. The research methods used were: literature studies, analysis of legal regulations, analysis of secondary data, as well as methods of induction and synthesis.

scholarly journals The measurement of intellectual capital by market capitalization method: Empirical study of Polish listed companies

2017 ◽  
Vol 5 (2) ◽  
pp. 106-115
Author(s):  
Salome Svanadze ◽  
Magdalena Kowalewska
Keyword(s):  
Stock Market ◽  
Empirical Study ◽  
Intellectual Capital ◽  
Stock Exchange ◽  
Market Value ◽  
Financial Statements ◽  
Listed Companies ◽  
Future Research ◽  
Book Value ◽  
Warsaw Stock Exchange

Intellectual capital has become a fundamental source for enterprises, but its measurement and reporting remain a major challenge for managers and researchers. The purpose of this paper is to examine and report the differences in the Intellectual Capital (IC) Market Value (MV) to Book Value (BV) of the Polish WIG 20 indexed companies from Warsaw Stock Exchange. The data necessary to perform the calculations in accordance with the MV/PV method came from the financial statements for the period 2010-2014 of 20 Polish companies. The MV/BV method provides the means to measure intellectual capital in a precise and timely calculation and is particularly useful for the companies that are listed on the stock market. Results are presented and followed by discussion and implication for future research.

eToys Inc.: A Case Examining Pro Forma Financial Reports, Analysts' Forecasts, and Going Concern Disclosures

2003 ◽  
Vol 18 (2) ◽  
pp. 191-209 ◽  
Author(s):  
Iris C. Stuart ◽  
Vijay Karan
Keyword(s):  
Financial Statements ◽  
Financial Information ◽  
Press Releases ◽  
Financial Reports ◽  
The Public ◽  
Going Concern ◽  
Pro Forma Earnings ◽  
Financial Disclosures ◽  
The Impact ◽  
Pro Forma

This case is designed to provide you with the opportunity to examine several reporting issues, in the period between an IPO and bankruptcy filing, for a “dotcom” company that failed. You will consider the information provided to outside users of financial statements in several company reporting mechanisms including the financial disclosures made by the company in its 10-Q and 10-K filings to the SEC, the pro forma earnings reported in press releases, and the information available to the public to evaluate a going concern assumption. Further, you will also examine the impact of analysts' forecasts on management's release of financial information to the public.

scholarly journals PENERAPAN STANDARD AKUNTANSI INTERNASIONAL OLEH PERUSAHAAN PUBLIK DI INDONESIA

2008 ◽  
Vol 5 (3) ◽  
pp. 289
Author(s):  
Nang D. Gunawan ◽  
Heru Satyanugraha
Keyword(s):  
Stock Exchange ◽  
Financial Statements ◽  
Listed Companies ◽  
The Other ◽  
Accounting Standard ◽  
Financial Report ◽  
Going Concern ◽  
Income Statement ◽  
Stock Information ◽  
International Accounting Standard

<p class="Style1"><strong><em>Adopting international accounting standard shall be beneficial to fins listed in </em></strong><strong><em>stock exchange. This research investigates the extent to which the disclosure require-</em></strong><strong><em>ment of Intemational Accounting StandardsliAS-1) for presentation of financial state-</em></strong><strong><em>ments are complied by the listed companies in Jakarta Stock Exchange. The financial </em></strong><strong><em>reports of 280 companies listed in Jakarta Stock Exchange were examined. The study </em></strong><strong><em>concludes that in general listed companies in Jakarta do not comply fully with lAS-1 </em></strong><strong><em>requirements. In items of "components of financial statements", "disclosure of income statement", 'timeliness", "comparability", "stock information" they do comply with the </em></strong><strong><em>international standard. For the other items, " compliance", "going concern", °divi-</em></strong><strong><em>dend", "description of reserves", "reclassification", they tend not to comply with the </em></strong><strong><em>requirements. The study found also there are differences of size of the companies </em></strong><strong><em>toward "timeliness' and "disclosure", differences of types of auditor on compliance to </em></strong><strong><em>"disclosure", and pmfitability of the companies on "going concern".</em></strong></p><strong><em>Key words : compliance, financial report, accounting standard, intemational, jakarta stock exchange,</em></strong>

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