Disclosure initiative — Primary Financial Statements [Research]
The Primary Financial Statements project is early stage research examining possible changes to the structure and content of the primary financial statements.
Initial research will focus on:
The structure and content of the statement(s) of Financial Performance
A defined sub-total for operating profit and
Alternative performance measures
Changes to the statement of cash flows and the SFP
This research will include feedback on a proposed discussion paper on the statement of cash flows being prepared by the staff of the UK Financial Reporting Council; and
The implications of digital reporting for the structure and content of the primary financial statements.
In the September 2017 IASB Staff Paper, the IASB included an illustrative example of the Statement of financial performance. Below is an example of how management performance measure (MPM) fits into the statement(s) of financial performance (provided as MPM subtotal).