Illustrative Corporation Group: IFRS Example Consolidated Financial Statements – December
Consolidated statement of
profit or loss
For the year ended 31 December 2021
(expressed in thousands of Euroland currency units, except per share amounts)
Guidance note
IAS 1 permits an entity to present a statement of profit
or loss and comprehensive income as:
• a single statement with profit or loss and other
comprehensive income presented in two sections, or
• two statements: a separate statement of profit
or loss and a separate statement of other
comprehensive income. If so, the separate
statement of profit or loss shall immediately
precede the statement presenting other
comprehensive income, which shall begin with profit
or loss (IAS 1.10A).
These Example Financial Statements illustrate a
statement of profit or loss and other comprehensive
income in two statements. A single statement
presentation is shown in Appendix B.
This statement of profit or loss illustrates an example
of the ‘nature of expense’ method. See Appendix A for
a format illustrating the ‘function of expense’ or ‘cost
of sales’ method.
There may be situations where additional line items,
headings and subtotals need to be included. IAS 1.85
requires an entity to present such additional items
(including the disaggregation of the line items listed
in IAS 1.82) in the statements of profit or loss and other
comprehensive income when such presentation is
relevant to an understanding of the entity’s financial
performance.
IAS 1.85A requires any additional subtotals presented
to be:
• comprised of line items made up of amounts
recognised and measured in accordance with IFRS
• presented and labelled in a manner that makes
the line items that constitute the subtotal clear and
understandable
• consistent from period to period
• no more prominent than the subtotals and totals
required in IFRS for the statement(s) presenting
profit or loss and other comprehensive income.
This statement of profit or loss presents an operating
profit subtotal, which is commonly seen but is not
required or defined in IFRS. Where this subtotal is
provided, the figure disclosed should include items
that would normally be considered to be operating.
It is inappropriate to exclude items clearly related
to operations (eg inventory write-downs and
restructuring and relocation expenses) on the basis
they do not occur regularly or are unusual in amount
(IAS 1.BC56).
This statement of profit or loss includes an amount
representing the entity’s share of profit from equity
accounted investments (after tax and, if applicable,
non-controlling interest).
IAS 1.51(c)
IAS 1.51(d-e)
Notes 2021 2020
IAS 1.82(a) Revenue 8, 9 205,793 191,228
IAS 1.85 Other income 299 708
IAS 1.85 Changes in inventories (7,923) (6,815)
IAS 1.85 Costs of material (42,535) (39,420)
IAS 1.85 Employee benefits expense 22 (113,809) (109,515)
IAS 1.85 Change in fair value of investment property 14 310 175
IAS 1.85 Depreciation, amortisation and impairment
of non-financial assets
(10,093) (8,881)
IAS 1.82(ba) Impairment losses of financial assets 34.2 (212) (228)
IAS 1.85 Other expenses (8,598) (8,943)
Operating profit 23,232 18,309
IAS 1.82(c) Share of profit from equity accounted
investments
7 391 141
IAS 1.82(b) Finance costs 27 (3,869) (3,993)
IAS 1.85 Finance income 27 964 885
IAS 1.85 Other financial items 28 ,943 1,182
Profit before tax 21,661 16,524
IAS 1.82(d) Tax expense 29 (6,794) (4,888)
Profit for the year from continuing
operations
14,867 11,636
IAS 1.82(ea) Loss for the year from discontinued operations 20 (9) (325)
IAS 1.81A(a) Profit for the year 14,858 11,311
Profit for the year attributable to:
IAS 1.81B(a)(i) Non-controlling interest 121 116
IAS 1.81B(a)(ii) Owners of the parent 14,737 11,195
14,858 11,311
Notes 2021 2020
Earnings per share 30
IAS 33.67A Basic earnings (loss) per share
IAS 33.66 – From continuing operations 1.19 0.93
IAS 33.68A – From discontinued operations (0.00) (0.03)
IAS 33.66 Total 1.19 0.90
IAS 33.67A Diluted earnings (loss) per share
IAS 33.66 – From continuing operations 1.19 0.93
IAS 33.68A – From discontinued operations (0.00) (0.03)
IAS 33.66 Total 1.19 0.90