Essentra plc Monitor

Essentra plc Annual Report 2018
CR Monitor Issue: 
Company covered: 
Essentra plc
Period End: 
31 December, 2018
Report issued on 01 June 2019 covered the following practice issues:
The segmental information is altered to reflect a change in organisational structure including restatement of the comparative year presentation.
Adoption of IFRS 15 Revenue from contracts with customers from 1 January 2018.
IFRS 9 Financial Instruments adoption from 1 January 2018 results in an adjustment within equity.
The expected future impact of adopting IFRS 16 Leases is quantified.
The impact of equalising Guaranteed Minimum Pensions for men and women is recognised as an exceptional item.
The strategic report includes extended principal risk information.

Disclosure of the impact of IFRS 16

This report reviews the IFRS 16 Leases disclosures for the annual reports of 20 listed companies, selected at random, with 31 December 2018 year ends. Two of the reports had early adopted IFRS 16 and for the other reports we evaluated the extent to which detailed quantification as to the expected impact of the standard was disclosed, in order to address points raised by the Financial Reporting Council (FRC) in its Annual Review of Corporate Governance and Reporting 2017/2018

This report builds on the findings from our equivalent report in May 2018 for a sample of 20 listed companies with 31 December 2017 year ends (New standard disclosure – IFRS 16 Leases). No early adopters were found in the sample at that time. Only two companies quantified the expected impact and there was great variety in the level of detail provided, with many not meeting FRC expectations.