Interim Financial Reports in the Year of Changeover to IFRS
An interim financial report in the year of changeover to IFRS must include the statements and reconciliations indicated below:
Note: The chart below assumes a December 31 year-end and assumes an issuer does not change its accounting policies after Q1. If an issuer changes its accounting policies in Q2 or Q3, in addition to the items noted below, it must include in the applicable Q2 or Q3 interim report:
- a statement of financial position as at Jan. 1/10,
- reconciliations of equity as at Jan. 1/10 and Dec 31/10, and
- a reconciliation of comprehensive income for the year ended Dec. 31/10.
(A) Required Statements
| Q1 | Q2 | Q3 | IFRS reference |
Interim period ended | Mar. 31/11 | June 30/11 | Sept. 30/11 | |
Statement of Financial Position | As at:
‣ Mar. 31/11
‣ Dec. 31/10
‣ Jan.1/10* | As at:
‣ June 30/11
‣ Dec. 31/10 |
As at:
‣ Sept. 30/11
‣ Dec. 31/10 | IAS 34.20(a) |
Statement of Comprehensive Income |
For the 3 months ended:
‣ Mar. 31/11
‣ Mar. 31/10 |
For each of the 3 and 6 months ended:
‣ June 30/11
‣ June 30/10 |
For each of the 3 and 9 months ended:
‣ Sept. 30/11
‣ Sept. 30/10 |
IAS 34.20(b) |
Statement of Changes in Equity |
For the 3 months ended:
‣ Mar. 31/11
‣ Mar. 31/10 |
For the 6 months ended:
‣ June 30/11
‣ June 30/10 |
For the 9 months ended:
‣ Sept. 30/11
‣ Sept. 30/10 |
IAS 34.20(c) |
Statement of Cash Flows |
For the 3 months ended:
‣ Mar. 31/11
‣ Mar. 31/10 |
For the 6 months ended:
‣ June 30/11
‣ June 30/10 |
For the 9 months ended:
‣ Sept. 30/11
‣ Sept. 30/10 |
IAS 34.20(d) |
* The opening statement of financial position at the date of transition to IFRS is required in the first interim report required to be filed in the year of adopting IFRS (see s.4.3(2)(e) of NI 51-102).
(B) Required Reconciliations from previous GAAP to IFRS
| Q1 | Q2 | Q3 | IFRS reference |
Interim period ended | Mar. 31/11 | June 30/11 | Sept. 30/11 | |
Reconciliation of equity |
As at:
‣ Dec. 31/10
‣ March 31/10
‣ Jan. 1/10 |
As at:
‣ June 30/10 |
As at:
‣ Sept. 30/10 |
IFRS 1.32(b)
1.32(a)(i) and 1.24(a) |
Reconciliation of comprehensive income |
For the year ended Dec. 31/10 and For the 3 months ended Mar. 31/10 |
For each of the 3 and 6 months ended June 30/10 |
For each of the 3 and 9 months ended Sept. 30/10 |
IFRS 1.32(b)
1.32(a)(ii) and
1.24(b) |
Note: IFRS 1.25 states that if an entity presented a statement of cash flows under its previous GAAP, it shall also explain the material adjustments to the statement of cash flows.
Annual Financial Statements in the Year of Changeover to IFRS
Annual financial statements in the year of changeover to IFRS must include the statements and reconciliations indicated below:
Note: a December 31 year-end has been used for illustrative purposes.
(A) Required Statements, presented with equal prominence
| | IFRS reference |
Statement of Financial Position |
As at:
‣ Dec. 31/11
‣ Dec. 31/10
‣ Jan.1/10 |
IFRS 1.21
IAS 1.39 |
Statement of Comprehensive Income |
For the year ended:
‣ Dec. 31/11
‣ Dec. 31/10 |
IFRS 1.21 |
Statement of Changes in Equity |
For the year ended:
‣ Dec. 31/11
‣ Dec. 31/10 |
IFRS 1.21 |
Statement of Cash Flows |
For the year ended:
‣ Dec. 31/11
‣ Dec. 31/10 |
IFRS 1.21 |
(B) Required Reconciliations from previous GAAP to IFRS
| | IFRS reference |
Reconciliation of equity |
As at:
‣ Dec. 31/10
‣ Jan. 1/10 |
IFRS 1.23 and 1.24(a) |
Reconciliation of total comprehensive income |
For the year ended Dec. 31/10 |
IFRS 1.23 and 1.24(b) |
Note: IFRS 1.25 states that if an entity presented a statement of cash flows under its previous GAAP, it shall also explain the material adjustments to the statement of cash flows.
(C) Disclosure Reminders for Annual Filings
- An issuer’s annual financial statements must include in the notes to the financial statements an unreserved statement of compliance with IFRS indicating that they comply with all requirements of IFRS. This unreserved annual statement of compliance differs from the unreserved statement of compliance in IAS 34.
- If an issuer’s accounting policies change in the year of adopting IFRS, including changes in its use of exemptions in IFRS 1 First-time Adoption of International Financial Reporting Standards (IFRS 1) or early adoption of new IFRS standards, paragraph 27A of IFRS 1 requires the changes between previously issued interim financial reports and the first IFRS annual financial statements to be explained and updated reconciliations to be provided.
- Changes in accounting policies in the year of adopting IFRS may require disclosure in the MD&A if they do not relate to early adoption of a new or revised IFRS standard, and to the extent that such disclosure has not been provided in the financial statements. Issuer’s should refer to CSA Staff Notice 52-328 Disclosure about Accounting Policies in the Year of Changeover to International Financial Reporting Standards for further information.