Gain on revaluation of previously held interest in an acquiree not reported as income Finnish paper company UPM-Kymmene understates by 52% total comprehensive income by excluding a €358 million gain arising from revaluing its previously held interest in a company acquired during the year, thus falling short of IFRS.
Significant restructuring disclosed outside financial statements Finnish engineering company Wärtsilä discloses a significant reduction of capacity, that it expects to lead to €140 million non-recurring costs equal to 25% of current year profit but, contrary to IFRS requirements, locates the principal disclosure outside the financial statements and notes.
State of order book included in segmental disclosures Finnish engineering company Wärtsilä discloses information by three business areas, including significant declines of up to 83% in new orders, whilst drawing attention to limitations of the information.
Statistical sampling approach to impairment test disclosures fall short of IFRS Finnish elevator and escalator company Kone discloses that its five largest cash-generating units (CGUs) contain 77% of its total goodwill, but does not disclose information about any individually significant CGU.
Finnish paper company UPM-Kymmene recognises €230 million impairments of goodwill, leading to a loss for the year, disclosing that it assumes a long-term 1% annual rate of contraction in its largest segment.