BBA Aviation

Disclosure of judgements and estimates

At the end of 2017, the FRC published a thematic review which focused on the disclosure of critical judgements and sources of estimation uncertainty, a requirement of IAS 1 Presentation of Financial Statements. This review was carried out in part because, in its 2016-17 corporate reporting review, the FRC found that companies were not making sufficiently clear disclosures in this area.

Unfortunately, despite this, judgements and estimates still represent an area of difficulty for companies, remaining the area most commonly raised by the Corporate Reporting Review Panel in reviewing company accounts during 2017–18. Common issues include poor explanations, a failure to separate judgements and estimates clearly and discussion of judgements and estimates that were not considered by the company to be significant or material. In some cases the FRC noted that disclosures elsewhere in the accounts suggested that significant judgements were made but these were not included in or referred to in the IAS 1 disclosures.

As a result of this, the FRC can be expected to continue its scrutiny of these disclosures and to challenge companies that do not provide clear, specific disclosures that meet the requirements of IAS 1.

This report analyses the disclosures about judgements and estimates which have been included in the consolidated annual reports of 20 UK listed companies selected at random from the FTSE 350.

FRS 101 "Reduced disclosure framework"- A review of application in parent company accounts of IFRS groups

The preparation of parent company financial statements is something that all consolidated IFRS groups have to consider. In light of the great level of recent change in this area in the UK this represents a one-off report giving guidance on the preparation of parent company financial statements under FRS 101 "Reduced Disclosure Framework". It focuses on UK groups that prepare IFRS consolidated accounts.

The report sets out the key findings from our review of the first-time application of FRS 101 “Reduced Disclosure Framework” by a group of 29 parent companies that prepare consolidated financial statements under IFRS.  We consider a number of points including: how companies informed shareholders of the intention to implement FRS 101; the format of the primary financial statements; disclosure of the list of exemptions taken; the concept of equivalent disclosure in the consolidated financial statements; the length of company financial statements under FRS 101; and changes in accounting policy on adoption. 

BBA Aviation plc Interims Monitor

Interim Financial Report
CR Interim Monitor Issue: 
2015/0909
Period End: 
30 June 2015
Listing Status: 
FTSE Mid 250
ICB Industry Classification: 
2777 Transportation Services
Auditor: 
Deloitte
Restatement
Costs reclassified between cost of sales and administrative expenses.
Divergence
Prior period profits recognised in current period as former financial investment reclassified as an associate.
Change
Revenue from sale and leaseback transaction recognised.
Change
Deferred tax and financial instruments excluded from non-current segment assets.

BBA Aviation plc Interims Monitor

Interim Financial Report
CR Interim Monitor Issue: 
2013/1106
Period End: 
30 June 2013
Listing Status: 
FTSE Mid 250
ICB Industry Classification: 
2777 Transportation Services
Auditor: 
Deloitte
Pronouncements
Application of new pension rules reduces comparative profit.
Pronouncements
Application of fair value rules for Interim accounts increases financial instruments disclosures.
Change
Cash flows from interest received reclassified to investing activities.
Change
Deficit reduction plans disclosed following triennial pension scheme valuation.

Directors remuneration: policy disclosures

This report focuses on companies’ disclosures within the newly proposed policy section of the directors’ remuneration report. It considers specifically the presentation of a pay policy table which sets out the key elements of pay and supporting information, including how each element supports the achievement of company strategy, the potential value and performance metrics.  

Eurozone: risk disclosures

This report focuses on companies’ disclosures of risks specifically considering information presented relating to the ramifications of the ongoing financial problems faced by the Eurozone as a whole and of a number of individual states within. This report focuses on the nature of the risks arising and the format of company disclosures.   

BBA Aviation plc

BBA Aviation plc Annual Report 2011
CR Monitor Issue: 
2012/0607
Company covered: 
BBA Aviation plc
Period End: 
31 December 2011
Report issued on 19 June 2012 did not identify any changes with significant impacts on the financial statements but covered the following practice issues:
Change
Change in presentation currency from Sterling to US Dollar.
Change
Estimated decrease of pre-tax profit from revised IAS 19 disclosed.
Change
Summary table added to directors' remuneration report.
Change
Potential collapse of Euro added to principal risks and uncertainties.