Financial reporting

Comply with IFRS and GAAP and stand up to auditor scrutiny with our technical financial reporting valuations

Most countries are converging their accounting standards with the International Financial Reporting Standards (IFRS), meaning that fair value financial reporting is becoming unavoidable for medium and large companies.

At Moore Kingston Smith, our dedicated valuations team is well-versed in IFRS and UK GAAP. We have advised on and produced numerous valuations for financial reporting purposes in different sectors and geographic regions.

There are several reasons a valuation for financial reporting purposes may be required, including, but and not limited to:

Purchase price allocation (PPA)

Following a company acquisition, IFRS 3 requires the proceeds of the transaction to be assigned to the acquired entity’s identifiable tangible and intangible assets. Our team has considerable experience identifying and valuing intangible assets that aren’t always shown on a company’s balance sheet.

Fair value measurement

IAS 36 mandates that an asset must not be shown in the financial statements above its recoverable amount or the value of its continued use. We are very experienced in testing the impairment of intangibles, goodwill, and long-life assets and in valuation of assets in accordance with IFRS 13. We can also assist in calculating individual components, such as assessing an appropriate discount rate.

Incremental borrowing rates

IFRS 16 specifies how an entity should recognise, present, measure, and disclose a lease after its inception. When a company incorporates an operating lease into its balance sheet, significant experience and expertise are required to determine an appropriate incremental borrowing rate. Our team has advised on numerous IFRS 16 valuations and is well-placed to assist you.

Share-based payments

IFRS 2 specifies how an entity should report on share-based payments. We use several valuation tools, such as the Binomial, Trinomial and Monte Carlo models, to produce robust and compliant valuations.

Lead contact

Paul McKeown

Partner

Paul McKeown brings an impressive track record and over three decades of experience as the firm’s Head of Valuations. His experience and expertise cover all aspects of valuations, and he specialises in navigating complex business and share structures for commercial, accounting, regulatory, litigation and tax purposes. Throughout his career, Paul has provided invaluable advice on… Read more