Business combinations

Merck KGaA Monitor

Merck KGaA Annual Report 2017
CR Monitor Issue: 
2018/0415
Company covered: 
Merck KGaA
Period End: 
31 December, 2017
Report issued on 16 April 2018 covered the following practice issues:
Restatement
Finalisation of prior year provisional business combination amounts.
Pronouncements
Disclosure of the future impacts of new standards yet to be adopted including IFRS 9 "Financial instruments" and IFRS 15 "Revenue from contracts with customers".
Change
Audit report enhanced by inclusion of key audit matters.
Change
Segment disclosures extended.

Henkel AG & Co. KGaA Monitor

Henkel AG & Co. KGaA Annual Report 2017
CR Monitor Issue: 
2018/0409
Company covered: 
Henkel AG & Co. KGaA
Period End: 
31 December, 2017
Report issued on 10 April 2018 covered the following practice issues:
Pronouncements
Additional cash flow disclosure in relation to changes in liabilities arising from financing activities.
Pronouncements
Extended disclosure on the expected future impacts of new accounting standards.
Restatement
Finalisation of prior year business combination amounts.
Change
Audit report includes discussion of key audit matters.

Galliford Try plc Monitor

Galliford Try plc Annual Report 2017
CR Monitor Issue: 
2018/0406
Company covered: 
Galliford Try plc
Period End: 
30 June, 2017
Report issued on 10 April 2018 covered the following practice issues:
Pronouncements
Cash and overdraft balances presented on a gross basis following issue of IFRIC guidance.
Change
Goodwill on business combination represents the value of the workforce of the acquired company.
Change
Exceptional items highlighted within a separate column on the face of the income statement.
Change
Enhanced risk disclosures include risk management governance structure diagram and linking of principal risks to strategic aims.
Change
New principal risk factors identified in respect of "Customer satisfaction and quality control", "Ambitious growth targets" and "Forecasting".

Royal Mail plc Monitor

Royal Mail plc Annual Report 2017
CR Monitor Issue: 
2018/0311
Company covered: 
Royal Mail plc
Period End: 
26 March, 2017
Report issued on 20 March 2018 covered the following practice issues:
Restatement
Change in segment disclosures to reflect management of resources.
Change
Separate disclosure of material business combination.
Change
Defined benefit pension changes including plan to close scheme to future accrual and recognition of insurance policy.
Change
Tabular disclosure of principal risks extended to include disclosure of new risk factor.
Change
Enhancements of audit report presentation include overview section and use of diagrams.
Change
Alternative performance measures section included in annual report.

Mediclinic plc Monitor

Mediclinic plc Annual Report 2017
CR Monitor Issue: 
2018/0310
Company covered: 
Mediclinic plc
Period End: 
31 March, 2017
Report issued on 20 March 2018 covered the following practice issues:
Restatement
Additional goodwill recognised following finalisation of business combination fair values.
Change
Assets and liabilities held for sale disclosed in separate lines on the face of the statement of financial position.
Change
Enhanced disclosure of financial instruments including fair value information.
Change
Disclosure of cash settled share based payment plan.
Change
Auditors' identify new area of audit focus in respect of "risk of fraud in revenue recognition".
Pronouncements
Additional disclosure on early adoption of amendment to IAS 7 "Statement of cash flows"

Tate & Lyle PLC Monitor

Tate & Lyle PLC Annual Report 2017
CR Monitor Issue: 
2018/0305
Company covered: 
Tate & Lyle PLC
Period End: 
31 March, 2017
Report issued on 13 March 2018 covered the following practice issues:
Change
Exceptional impairment charge recognised in respect of business disposal.
Restatement
Finalisation of business combination asset values results in recognition of additional goodwill.
Change
Recognition of pension settlement gain.
Change
Deferred tax credit recognised in respect of tax losses.
Change
Goodwill impairment linked to lower growth expectations.
Pronouncements
Extended disclosure in respect of the future impacts of new accounting standards.

Brewin Dolphin Holdings PLC Monitor

Brewin Dolphin Holdings PLC Annual Report Year
CR Monitor Issue: 
2018/0302
Company covered: 
Brewin Dolphin Holdings PLC
Period End: 
30 September, 2017
Report issued on 06 March 2018 covered the following practice issues:
Pronouncements
Non-quantified disclosure of future impacts of new standards IFRS 16, IFRS 15 and IFRS 9.
Change
Enhanced disclosure of risks in respect of defined benefit pension scheme.
Change
Non-disclosure of revenue and profit contribution of acquired entity prior to acquisition.
Change
Tabular disclosure of principal risks extended to include discussion of two new risk areas.

Sage Group plc Monitor

Sage Group plc Annual Report 2017
CR Monitor Issue: 
2018/0211
Company covered: 
Sage Group plc
Period End: 
30 September 2017
Report issued on 27 February 2018 covered the following practice issues:
Change
Detailed disclosures in respect of business combinations including a stepped acquisition.
Change
Separate disclosure of discontinued operations on the face of the income statement.
Pronouncements
Disclosure of future impact information in respect of new standards yet to be adopted including IFRS 15 "Revenue from contracts with customers" and IFRS 16 "Leases".
Change
Change in segment reporting to introduce a flatter more focused structure.

Sports Direct International plc Monitor

Sports Direct International plc Annual Report 2017
CR Monitor Issue: 
2018/0205
Company covered: 
Sports Direct International plc
Period End: 
30 April, 2017
Report issued on 13 February 2018 covered the following practice issues:
Restatement
Segment reporting structure altered to show international retail business separately.
Change
Aggregate information disclosed in respect of immaterial business combinations.
Change
Profit on disposal of a subsidiary highlighted on the face of the income statement.
Change
Introduction of detailed disclosure in respect of related parties.
Change
Purchase of company strategic stakes disclosed in post balance sheet events note.
Change
Identification of "brexit" as a new principal risk factor.

Micro Focus International plc Monitor

Micro Focus International plc Annual Report 2017
CR Monitor Issue: 
2018/0204
Company covered: 
Micro Focus International plc
Period End: 
30 April, 2017
Report issued on 13 February 2018 covered the following practice issues:
Change
Amortisation of capitalised research and development costs reclassified to cost of sales to achieve comparability.
Change
Goodwill recognised on business acquisition represents value of the assembled workforce and expected future economic benefits.
Pronouncements
Disclosures on amendments to IFRS 2.
Pronouncements
Qualitative disclosures on the future impacts of new revenue standard.
Change
Risk disclosures enhanced by inclusion of flow chart illustrating the risk management cycle.
Change
Disclosure of principal risk factors extended to identify competition as a new risk factor.