Consolidated financial statement

Short description: Concept in accounting

Part of a series on

Accounting

* Historical cost
* Constant purchasing power
* Management
* Tax

Major types

* Audit
* Budget
* Cost
* Forensic
* Financial
* Fund
* Governmental
* Management
* Social
* Tax

Key concepts

* Accounting period
* Accrual
* Constant purchasing power
* Economic entity
* Fair value
* Going concern
* Historical cost
* Matching principle
* Materiality
* Revenue recognition
* Unit of account

Selected accounts

* Assets
* Cash
* Cost of goods sold
* Depreciation / Amortization
* Equity
* Expenses
* Goodwill
* Liabilities
* Profit
* Revenue

Accounting standards

* Generally-accepted principles
* Generally-accepted auditing standards
* Convergence
* International Financial Reporting Standards
* International Standards on Auditing
* Management Accounting Principles

Financial statements

* Annual report
* Balance sheet
* Cash-flow
* Equity
* Income
* Management discussion
* Notes to the financial statements

Bookkeeping

* Bank reconciliation
* Debits and credits
* Double-entry system
* FIFO and LIFO
* Journal
* Ledger / General ledger
* T accounts
* Trial balance

Auditing

* Financial
* Internal
* Firms
* Report

People and organizations

* Accountants
* Accounting organizations
* Luca Pacioli

Development

* History
* Research
* Positive accounting
* Sarbanes–Oxley Act

* v
* t
* e

A consolidated financial statement (CFS) is the "financial statement of a group in which the assets, liabilities, equity, income, expenses and cash flows of the parent company and its subsidiaries are presented as those of a single economic entity" (IFRS 10 Appendix A), according to the definitions stated in International Accounting Standard 27, "Consolidated and separate financial statements" (IAS 27.4), and International Financial Reporting Standard 10, "Consolidated financial statements" (IFRS 10.2).[1][2][3]

## Contents

* 1 Consolidated statement of financial position
* 2 Legislation
* 3 Specific approaches to consolidation
* 3.1 Goodwill arising on consolidation
* 3.2 Calculation of Goodwill
* 3.3 Relevant Standard Paragraphs
* 3.4 Non-controlling interests
* 3.5 Intra-group trading and Unrealised Profit
* 4 Comparison: Consolidated vs. Separate Financial Statements
* 4.1 Advantages of the Consolidated Approach
* 5 Illustrative Examples for Consolidated Financial Statements
* 5.1 XYZ Group – Consolidated and separate statement of financial position
* 5.2 XYZ Group – Consolidated Statement of comprehensive income for the year ended 31 December 20X7 (IFRS 9 applied)
* 5.3 XYZ Group – Consolidated Statement of changes in equity for the year ended 31 December 20X7
* 5.4 XYZ Group – Consolidated Consolidated Statement of Cash Flows (IAS 7)
* 5.4.1 Direct Method Statement of Cash Flows
* 5.4.2 Indirect Method Statement of Cash Flows
* 5.4.3 Segment Information (Cash Flows)
* 5.5 XYZ Group – Operating Segments (IFRS 8)
* 5.5.1 1\. General Information
* 5.5.2 2\. Information about reportable segment profit or loss, assets and liabilities
* 5.5.3 3\. Reconciliations
* 5.5.4 4\. Geographical Information
* 6 References
* 7 See also
* 8 Further reading

## Consolidated statement of financial position

According to IAS 1.10, a complete set of consolidated financial statements comprises

1. a consolidated statement of financial position as at the end of the period (IAS 1.10(a)),
2. a consolidated statement of profit or loss and other comprehensive income (IAS 1.10(b)),
3. a consolidated statement of changes in equity (IAS 1.10(c)),
4. a consolidated statement of cash flows (IAS 1.10(d)),
5. notes, comprising significant accounting policies and other explanatory information (IAS 1.10(e)),[4] and
6. a operating segments report[5][6]

Consolidated accounts are prepared after the accounts for the constituent companies have been prepared.[7] While preparing a consolidated financial statement, there are two basic procedures that need to be followed: first, cancelling out all the items that are accounted as an asset in one company and a liability in another, and then adding together all uncancelled items (IFRS 10.B86).[8]

There are two main type of items that cancel each other out from the consolidated statement of financial position.

* "Investment in subsidiary companies" which is treated as an asset in the parent company will be cancelled out by "share capital" account in subsidiary's statement (IFRS 3.10). Only the parent company's "share capital" account will be included in the consolidated statement (IFRS 10.B92).[9]
* If trading between different companies in one group takes place, then the payables of one company will be cancelled out by the receivables of another company (IFRS 10.B86(c)).[10]

## Legislation

In the United Kingdom, section 399 of the Companies Act 2006 requires parent company directors to prepare group accounts unless an exemption applies (UK Companies Act 2006 s.399).[11] Small groups are exempt, where total net assets are below £5.1m, annual turnover is less than £10.2m, or the average number of employees is below 50 (UK Companies Act 2006 s.398).[12] Two of these three conditions must be met.[13] For entities not following IFRS, these requirements are further detailed in the Financial Reporting Standard applicable in the UK and Republic of Ireland (UK GAAP FRS 102 Section 9).

For listed companies, section 403 of the Companies Act 2006 mandates the preparation of group accounts in accordance with UK-adopted international accounting standards (UK Companies Act 2006 s.403).[14] Following the UK's exit from the European Union, these accounts must comply with standards endorsed by the UK Endorsement Board (UKEB) for financial years beginning on or after 1 January 2021 (SI 2019/685).[15] The primary legislative driver for consolidation under this framework is IFRS 10, which replaces ownership-based definitions with a single "control" model (IFRS 10 Appendix A).[16] Control is established when a parent possesses power over an investee, exposure to variable returns, and the ability to influence those returns through its power (IFRS 10.7).[17] Once a company elects to prepare IFRS group accounts, section 403(4) requires continued use of this framework unless a relevant change in circumstances occurs (UK Companies Act 2006 s.403(4)).[18]

## Specific approaches to consolidation

### Goodwill arising on consolidation

Goodwill is treated as an intangible asset (IAS 38.8) in the consolidated statement of financial position.[19] It arises in cases where the cost of purchase of shares is not equal to their par value (IFRS 3.32).[20] For example, if a company buys shares of another company worth $40,000 for $60,000, there is a goodwill worth $20,000.

### Calculation of Goodwill

According to IFRS 3.32, goodwill is determined by measuring the difference between the aggregate of the consideration transferred and the net of the acquisition-date amounts of the identifiable assets acquired.[21]

Goodwill Computation (IFRS 3 Paragraphs 37-40)  Component | IFRS Reference | Value/Adjustment

|
|

Fair value of consideration transferred | IFRS 3.37-38 | \+
Fair value of non-controlling interest (NCI) | IFRS 3.19 | \+
Less: Ordinary share capital of subsidiary | IFRS 3.10 | (–)
Less: Share premium of subsidiary | IFRS 3.10 | (–)
Less: Retained earnings at acquisition date | IFRS 3.B64(i) | (–)
Less: Fair value adjustments at acquisition | IFRS 3.18 | (–)
NET GOODWILL | IFRS 3.32 | = Total

### Relevant Standard Paragraphs

* IFRS 3.37: States that the consideration transferred in a business combination shall be measured at fair value.
* IFRS 3.19: Provides the choice to measure NCI either at fair value ("Full Goodwill method") or at the NCI's proportionate share of the acquiree’s identifiable net assets.[22]
* IFRS 3.34: Notes that if the calculation results in a negative amount, it is recognized as a "gain on a bargain purchase" in profit or loss.[23]

### Non-controlling interests

If the parent company does not own 100% of the shares of a subsidiary, a proportion of the net assets is attributable to external shareholders. This is defined by IFRS 10 Appendix A as equity in a subsidiary not attributable, directly or indirectly, to a parent.[24]

The measurement of NCI at the date of acquisition is governed by IFRS 3.19, allowing either fair value (Full Goodwill) or a proportionate share of the acquiree's identifiable net assets.[25] Post-acquisition, the value of the non-controlling interest must be updated to reflect its share of the subsidiary's comprehensive income, as required by IFRS 10.B94.[26]

The carrying amount of NCI at the reporting date is determined as (IFRS 10.B94):

NCIBalance=NCIAcq+(%NCI×ΔREpost)

Where:

* NCIAcq = Initial value at acquisition date (per IFRS 3.19).
* NCI% = The percentage of equity held by minority shareholders.
* ΔREpost = The increase or decrease in the subsidiary's retained earnings since the acquisition date.

Note on Loss Allocation: According to IFRS 10.B94, the NCI% is applied to profits and losses even if this results in the non-controlling interest having a deficit balance.[27]

NCI Calculation (IFRS 3.19 & IFRS 10.B94)  Component | IFRS Reference | Value

|
|

Fair value of NCI at acquisition date | IFRS 3.19 | \+
Plus: NCI's share of post-acquisition retained earnings | IFRS 10.B94 | \+
Plus: NCI's share of other post-acquisition reserves | IFRS 10.B94 | \+
Total NCI in Consolidated Statement | IFRS 10.B94 | = Total

### Intra-group trading and Unrealised Profit

A group may engage in internal trade relations.[28] However, IFRS 10.B86(c) requires the full elimination of intragroup assets, liabilities, equity, income, expenses, and cash flows relating to transactions between entities of the group.[29]

Where goods remain in the inventory of the buying company at the reporting date, the group must eliminate unrealised profit (PURP) (IFRS 10.B86(c)). This ensures the inventory is stated at the original cost to the group as per IAS 2 (IAS 2.9).[30]

The Provision for Unrealised Profit (PURP) is calculated as:

PURP=Intercompany Profit×Unsold InventoryTotal Intercompany Sales

Key Compliance Note: According to KPMG's Insights into IFRS, the elimination of these profits is necessary even if the transaction was conducted at arm's length, because the group cannot "earn" profit by trading with itself (IFRS 10.B86).[31]

## Comparison: Consolidated vs. Separate Financial Statements

The fundamental difference lies in the perspective: the separate financial statement (Einzelabschluss) follows the principle of legal separation (IAS 27.6), while the consolidated financial statement (Konzernabschluss) follows the principle of the economic entity (IFRS 10.B86).[32]

Key Differences between Separate and Consolidated Statements  Feature | Separate Financial Statement (Parent) | Consolidated Financial Statement (Group)

|
|

Perspective | Legal (What belongs to Company X?) (IAS 27.4)[33] | Economic (What belongs to the Group?) (IFRS 10.B86)[34]
Investments | Presented only as line items (at historical acquisition cost) (IAS 27.10).[35] | "Broken open"; the actual assets (machinery, inventory) of the subsidiary are shown (IFRS 10.B87).[36]
Profits | Displays profits from sales to subsidiaries (Internal profits).[37] | Eliminates internal profits. Only sales to external third-party customers are counted (IFRS 10.B86).[38]
Liabilities | Shows only the liabilities of the parent company.[39] | Shows the total indebtedness of all group companies toward banks and third parties (IFRS 10.B86).[40]

### Advantages of the Consolidated Approach

While the separate financial statement is primarily used for taxation and determining dividend distributions, the consolidated financial statement serves as a superior information tool because it:

* Eliminates "paper profits": It prevents the group from appearing more profitable by simply "selling" items between subsidiaries (IFRS 10.B86).[41]
* Reveals hidden risks: It provides a transparent view of the group's total debt (IFRS 10.B86).[42]
* Reflects operational reality: It shows whether the group's wealth is actually growing through external trade rather than internal asset shifts (IFRS 10.2).[43]

## Illustrative Examples for Consolidated Financial Statements

### XYZ Group – Consolidated and separate statement of financial position

This synthetic example, based on the IFRS Accounting Taxonomy 2024, demonstrates the presentation of consolidated and separate numbers in a single statement using detailed XBRL tagging.[44]

XYZ Group – Statement of financial position as at 31 December 20X7 (in thousands of currency units)  Assets  | 31 Dec 20X7  | 31 Dec 20X6

|
|

Group | Parent | Group | Parent
Non-current assets |  |  |  |
Property, plant and equipment | 350,700 | 120,000 | 360,020 | 135,000
Goodwill | 80,800 | — | 91,200 | —
Other intangible assets | 227,470 | 50,000 | 227,470 | 50,000
Investments in subsidiaries | — | 250,000 | — | 250,000
Investments in associates | 100,150 | 80,000 | 110,770 | 80,000
Investments in equity instruments | 142,500 | 110,000 | 156,000 | 110,000
Total non-current assets | 901,620 | 610,000 | 945,460 | 625,000
Current assets |  |  |  |
Inventories | 135,230 | 40,000 | 132,500 | 38,000
Trade receivables | 91,600 | 65,000 | 110,800 | 70,000
Other current assets | 25,650 | 15,000 | 12,540 | 10,000
Cash and cash equivalents | 312,400 | 150,000 | 322,900 | 160,000
Total current assets | 564,880 | 270,000 | 578,740 | 278,000
Total assets | 1,466,500 | 880,000 | 1,524,200 | 903,000
Equity and liabilities | Group | Parent | Group | Parent
Equity |  |  |  |
Share capital | 650,000 | 650,000 | 600,000 | 600,000
Retained earnings | 243,500 | 161,400 | 161,700 | 150,300
Other components of equity | 10,200 | 5,000 | 21,200 | 10,000
Equity attributable to owners of the parent | 903,700 | 816,400 | 782,900 | 760,300
Non-controlling interests | 70,050 | — | 48,600 | —
Total equity | 973,750 | 816,400 | 831,500 | 760,300
Non-current liabilities |  |  |  |
Long-term borrowings | 120,000 | 120,000 | 160,000 | 140,000
Deferred tax | 28,800 | 18,600 | 26,040 | 15,000
Long-term provisions | 28,850 | — | 52,240 | 15,000
Total non-current liabilities | 177,650 | 138,600 | 238,280 | 170,000
Current liabilities |  |  |  |
Trade and other payables | 115,100 | 50,000 | 187,620 | 60,000
Short-term borrowings | 150,000 | 50,000 | 200,000 | 60,000
Current portion of long-term borrowings | 10,000 | 10,000 | 20,000 | 15,000
Current tax payable | 35,000 | 10,000 | 42,000 | 10,000
Short-term provisions | 5,000 | 5,000 | 4,800 | 5,000
Total current liabilities | 315,100 | 125,000 | 454,420 | 150,000
Total equity and liabilities | 1,466,500 | 1,080,000 | 1,524,200 | 1,080,300

### XYZ Group – Consolidated Statement of comprehensive income for the year ended 31 December 20X7 (IFRS 9 applied)

(illustrating the presentation of consolidated profit or loss and other comprehensive income in one statement and the classification of expenses within profit or loss by function) (in thousands of currency units)[45]

Description | 20X7 | 20X6

|
|

Revenue | 390,000 | 355,000
Cost of sales | (238,000) | (219,500)
Gross profit | 152,000 | 135,500
Other income | 20,667 | 11,300
Distribution costs | (9,000) | (8,700)
Administrative expenses | (20,000) | (21,000)
Other expenses | (2,100) | (1,200)
Finance costs | (15,000) | (18,000)
Share of profit of associates(a) | 35,100 | 30,100
Profit before tax | 161,667 | 128,000
Income tax expense | (40,417) | (32,000)
Profit for the year from continuing operations | 121,250 | 96,000
Loss for the year from discontinued operations | – | (30,500)
PROFIT FOR THE YEAR | 121,250 | 65,500
Other comprehensive income:
Items that will not be reclassified to profit or loss:
Gains on property revaluation | 933 | 3,367
Investments in equity instruments | (24,000) | 26,667
Remeasurements of defined benefit pension plans | (667) | 1,333
Share of other comprehensive income of associates(c) | 400 | (700)
Income tax relating to items that will not be reclassified(d) | 5,834 | (7,667)
Subtotal: Items not reclassified | (17,500) | 23,000
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translating foreign operations(b) | 5,334 | 10,667
Cash flow hedges(b) | (667) | (4,000)
Income tax relating to items that may be reclassified(d) | (1,167) | (1,667)
Subtotal: Items that may be reclassified | 3,500 | 5,000
Other comprehensive income for the year, net of tax | (14,000) | 28,000
TOTAL COMPREHENSIVE INCOME FOR THE YEAR | 107,250 | 93,500
Profit attributable to:
Owners of the parent | 97,000 | 52,400
Non-controlling interests | 24,250 | 13,100
Total | 121,250 | 65,500
Total comprehensive income attributable to:
Owners of the parent | 85,800 | 74,800
Non-controlling interests | 21,450 | 18,700
Total | 107,250 | 93,500
Earnings per share (in currency units):
Basic and diluted | 0.46 | 0.30

Disclosure of tax effects relating to each component of OCI

(in thousands of currency units)

Component | 20X7 Before-tax | 20X7 Tax | 20X7 Net | 20X6 Before-tax | 20X6 Tax | 20X6 Net

|
|
|
|
|
|

Exchange differences (Foreign Ops) | 5,334 | (1,334) | 4,000 | 10,667 | (2,667) | 8,000
Investments in equity instruments | (24,000) | 6,000 | (18,000) | 26,667 | (6,667) | 20,000
Cash flow hedges | (667) | 167 | (500) | (4,000) | 1,000 | (3,000)
Gains on property revaluation | 933 | (333) | 600 | 3,367 | (667) | 2,700
Remeasurements (Pension) | (667) | 167 | (500) | 1,333 | (333) | 1,000
Share of OCI of associates | 400 | – | 400 | (700) | – | (700)
Other comprehensive income | (18,667) | 4,667 | (14,000) | 37,334 | (9,334) | 28,000

### XYZ Group – Consolidated Statement of changes in equity for the year ended 31 December 20X7

Description | Share capital | Retained earnings | Translation reserve | Equity inst. reserve | Cash flow hedge | Revaluation surplus | NCI | Total equity

|
|
|
|
|
|
|
|

Balance at 1 Jan 20X6 | 600,000 | 118,500 | (4,000) | 1,600 | 2,000 | – | 29,900 | 748,000
Dividends | – | (10,000) | – | – | – | – | – | (10,000)
Total Comp. Income | – | 53,200 | 6,400 | 16,000 | (2,400) | 1,600 | 18,700 | 93,500
Balance at 31 Dec 20X6 | 600,000 | 161,700 | 2,400 | 17,600 | (400) | 1,600 | 48,600 | 831,500
Issue of share capital | 50,000 | – | – | – | – | – | – | 50,000
Dividends | – | (15,000) | – | – | – | – | – | (15,000)
Total Comp. Income | – | 96,600 | 3,200 | (14,400) | (400) | 800 | 21,450 | 107,250
Transfer to ret. earnings | – | 200 | – | – | – | (200) | – | –
Balance at 31 Dec 20X7 | 650,000 | 243,500 | 5,600 | 3,200 | (800) | 2,200 | 70,050 | 973,750

### XYZ Group – Consolidated Consolidated Statement of Cash Flows (IAS 7)

XYZ Group — Year ended 31 December 20X2 (in thousands of currency units)

#### Direct Method Statement of Cash Flows

Cash flows from operating activities  | 20X2

|

Cash receipts from customers  | 30,150
Cash paid to suppliers and employees  | (27,600)
Cash generated from operations  | 2,550
Interest paid  | (270)
Income taxes paid  | (900)
Net cash from operating activities  | 1,380
Cash flows from investing activities
Acquisition of subsidiary X, net of cash acquired  | (550)
Purchase of property, plant and equipment  | (350)
Proceeds from sale of equipment  | 20
Interest received  | 200
Dividends received  | 200
Net cash used in investing activities  | (480)
Cash flows from financing activities
Proceeds from issue of share capital  | 250
Proceeds from long-term borrowings  | 250
Payment of lease liabilities  | (90)
Dividends paid  | (1,200)
Net cash used in financing activities  | (790)
Effect of exchange rate changes  | (40)
Net increase in cash and cash equivalents  | 70
Cash and cash equivalents at beginning of period  | 160
Cash and cash equivalents at end of period  | 230

#### Indirect Method Statement of Cash Flows

Cash flows from operating activities  | 20X2

|

Profit before taxation  | 3,350
Adjustments for: |
Depreciation  | 450
Foreign exchange loss  | 40
Investment income  | (500)
Interest expense  | 400
Operating profit before working capital changes  | 3,740
Increase in trade and other receivables  | (500)
Decrease in inventories  | 1,050
Decrease in trade payables  | (1,740)
Cash generated from operations  | 2,550
Interest paid  | (270)
Income taxes paid  | (900)
Net cash from operating activities  | 1,380

#### Segment Information (Cash Flows)

Segment  | Operating  | Investing  | Financing  | Total

|
|
|
|

Segment A  | 1,520  | (640)  | (570)  | 310
Segment B  | (140)  | 160  | (220)  | (200)
Total Group  | 1,380  | (480)  | (790)  | 110

### XYZ Group – Operating Segments (IFRS 8)

Diversified Company — Year ended 31 December 20X7 (in thousands of currency units - CU)

#### 1\. General Information

Description of products and services

Diversified Company has five reportable segments: car parts, motor vessels, software, electronics and finance.

* Car parts: Produces replacement parts for sale to car parts retailers.
* Motor vessels: Produces small motor vessels to serve the offshore oil industry.
* Software: Produces application software for computer manufacturers and retailers.
* Electronics: Produces integrated circuits and related products.
* Finance: Responsible for financial operations including customer financing and property lending.

Factors used to identify reportable segments

Segments are strategic business units offering different products and services. They are managed separately because each business requires different technology and marketing strategies.

#### 2\. Information about reportable segment profit or loss, assets and liabilities

Description | Car parts | Motor vessels | Software | Electronics | Finance | All other | Totals

|
|
|
|
|
|
|

Revenues from external customers | 3,000 | 5,000 | 9,500 | 12,000 | 5,000 | 1,000 | 35,500
Intersegment revenues | – | – | 3,000 | 1,500 | – | – | 4,500
Interest revenue | 450 | 800 | 1,000 | 1,500 | – | – | 3,750
Interest expense | 350 | 600 | 700 | 1,100 | – | – | 2,750
Net interest revenue(b) | – | – | – | – | 1,000 | – | 1,000
Depreciation and amortisation | 200 | 100 | 50 | 1,500 | 1,100 | – | 2,950
Reportable segment profit | 200 | 70 | 900 | 2,300 | 500 | 100 | 4,070
Impairment of assets | – | 200 | – | – | – | – | 200
Reportable segment assets | 2,000 | 5,000 | 3,000 | 12,000 | 57,000 | 2,000 | 81,000
Expenditures for non-current assets | 300 | 700 | 500 | 800 | 600 | – | 2,900
Reportable segment liabilities | 1,050 | 3,000 | 1,800 | 8,000 | 30,000 | – | 43,850

(a) Revenues from "All other" are attributable to four small segments including property business and consulting. (b) Management relies on net interest revenue for the Finance segment; only net is disclosed.

#### 3\. Reconciliations

| Revenues | CU

|

Total reportable segments | 39,000
Other revenues | 1,000
Intersegment elimination | (4,500)
Entity's revenues | 35,500
| Profit or Loss | CU

|

Total reportable segments | 3,970
Other profit/loss | 100
Intersegment elimination | (500)
Litigation settlement | 500
Corporate expenses | (750)
Pension adjustment | (250)
Income before tax | 3,070

#### 4\. Geographical Information

Country | Revenues | Non-current assets

|
|

United States | 19,000 | 11,000
Canada | 4,200 | –
China | 3,400 | 6,500
Japan | 2,900 | 3,500
Other countries | 6,000 | 3,000
Total | 35,500 | 24,000

5\. Information about major customers

Revenues from one customer of Diversified Company’s software and electronics segments represent approximately CU 5,000 of the Company’s total revenues.

## References

1. ↑ "IAS 27 Separate Financial Statements" (PDF). IFRS Foundation. 2021. p. A1282 paragraph 4. https://www.ifrs.org/content/dam/ifrs/publications/pdf-standards/english/2021/issued/part-a/ias-27-separate-financial-statements.pdf.
2. ↑ "IAS 27 — Separate Financial Statements (2011)". IAS Plus. http://www.iasplus.com/en/standards/ias/ias27-2011.
3. ↑ "IFRS 10 — Consolidated Financial Statements". IAS Plus. http://www.iasplus.com/en/standards/ifrs/ifrs10.
4. ↑ "IAS 1 — Presentation of Financial Statements". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ias-1-presentation-of-financial-statements/.
5. ↑ For entities whose debt or equity instruments are traded in a public market, '''IFRS 8.2''' also requires an operating segments report. This disclosure enables users to evaluate the nature and financial effects of the business activities and economic environments in which the group operates ('''IFRS 8.20'''). In a consolidated context, this mandate applies specifically to groups where the parent entity is publicly traded ('''IFRS 8.2(a)''').
6. ↑ "IFRS 8 Operating Segments". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ifrs-8-operating-segments/.
7. ↑ ACCA, A Guide to Consolidated accounts, Appendix 1, accessed on 14 June 2025
8. ↑ "IFRS 10 Consolidated Financial Statements - Illustrative examples". IFRS Foundation. https://www.ifrs.org/supporting-implementation/supporting-materials-by-standard/ifrs-10/.
9. ↑ "Consolidation: Preparation of consolidated financial statements". PwC. https://www.pwc.com/gx/en/audit-assurance/ifrs/publications/ifrs-10-handbook.html.
10. ↑ "Intercompany transactions and eliminations". Deloitte. https://www.iasplus.com/en/standards/ifrs/ifrs10.
11. ↑ "Companies Act 2006, Section 399". UK Government Legislation. https://www.legislation.gov.uk/ukpga/2006/46/section/399.
12. ↑ "UK Accounting Standards and the Companies Act". Deloitte (IAS Plus UK). https://www.iasplus.com/en-gb/standards/uk-gaap.
13. ↑ Avey of London Ltd., Group Accounts Exemptions, published in April 2016, accessed on 14 June 2025
14. ↑ "Companies Act 2006, Section 403". UK Government Legislation. https://www.legislation.gov.uk/ukpga/2006/46/section/403.
15. ↑ "The International Accounting Standards and European Public Limited-Liability Company (Amendment etc.) (EU Exit) Regulations 2019". UK Government Legislation. https://www.legislation.gov.uk/uksi/2019/685/contents/made.
16. ↑ "IFRS 10 Consolidated Financial Statements". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ifrs-10-consolidated-financial-statements/.
17. ↑ "UK-adopted international accounting standards". UK Endorsement Board (UKEB). https://www.endorsement-board.uk/uk-adopted-international-accounting-standards.
18. ↑ "Companies Act 2006, Section 403". UK Government Legislation. https://www.legislation.gov.uk/ukpga/2006/46/section/403.
19. ↑ "IAS 38 Intangible Assets". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ias-38-intangible-assets/.
20. ↑ "IFRS 3 Business Combinations - Goodwill measurement". Deloitte. https://www.iasplus.com/en/standards/ifrs/ifrs3.
21. ↑ "IFRS 3 Business Combinations". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ifrs-3-business-combinations/.
22. ↑ "IFRS 3 — Business Combinations". Deloitte (IAS Plus). https://www.iasplus.com/en/standards/ifrs/ifrs3.
23. ↑ "Bargain purchase in a business combination". PwC. https://www.pwc.com/gx/en/audit-assurance/ifrs/publications/ifrs-3-handbook.html.
24. ↑ "IFRS 10 Consolidated Financial Statements". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ifrs-10-consolidated-financial-statements/.
25. ↑ "Non-controlling interests (NCI)". PwC. https://www.pwc.com/gx/en/audit-assurance/ifrs/publications/ifrs-3-handbook.html.
26. ↑ "IFRS 10 Consolidated Financial Statements". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ifrs-10-consolidated-financial-statements/.
27. ↑ "Manual of Accounting: IFRS". PwC. https://www.pwc.com/gx/en/services/audit-assurance/ifrs/publications.html.
28. ↑ "Elimination of intra-group transactions". BDO. https://www.bdo.global/en-gb/insights/advisory/ifrs/ifrs-at-a-glance.
29. ↑ "Consolidated Financial Statements Summary". Deloitte (IAS Plus). https://www.iasplus.com/en/standards/ifrs/ifrs10.
30. ↑ "Elimination of intra-group transactions". BDO. https://www.bdo.global/en-gb/insights/advisory/ifrs/ifrs-at-a-glance.
31. ↑ "Handbooks and Insights: IFRS 10". KPMG. https://kpmg.com/xx/en/home/services/audit/international-financial-reporting-standards.html.
32. ↑ "Consolidated and separate financial statements". PwC. https://www.pwc.com/gx/en/services/audit-assurance/ifrs/publications.html.
33. ↑ "IFRS 10 Consolidated Financial Statements". IFRS Foundation. https://www.ifrs.org/issued-standards/list-of-standards/ifrs-10-consolidated-financial-statements/.
34. ↑ "Consolidated Financial Statements: A Guide". Mazars. https://www.mazars.com/Home/Services/Audit-assurance/IFRS/IFRS-technical-resources.
35. ↑ "Separate Financial Statements under IAS 27". BDO. https://www.bdo.global/en-gb/insights/advisory/ifrs/ias-27-separate-financial-statements.
36. ↑ "Group reporting – IFRS 10 and IFRS 11". KPMG. https://kpmg.com/xx/en/home/services/audit/international-financial-reporting-standards/ifrs-10-consolidated-financial-statements.html.
37. ↑ "Intercompany transactions and eliminations". Forvis Mazars. https://www.forvismazars.com/us/en/services/audit-and-assurance.
38. ↑ "IFRS 10: Consolidated Financial Statements Handbook". EY. https://www.ey.com/en_gl/ifrs-technical-resources.
39. ↑ "Understanding Separate Financial Statements". Deloitte. https://www.iasplus.com/en/standards/ias/ias27-2011.
40. ↑ "Basis for Consolidation". PwC. https://www.pwc.com/gx/en/audit-assurance/ifrs/publications/ifrs-10-handbook.html.
41. ↑ "Elimination of unrealised profit". BDO. https://www.bdo.global/en-gb/insights/tax/ifrs-at-a-glance.
42. ↑ "Insights into IFRS". KPMG. https://kpmg.com/xx/en/home/insights/2023/09/insights-into-ifrs.html.
43. ↑ "IFRS 10 Consolidated Financial Statements Summary". IFRS Foundation. https://www.ifrs.org/supporting-implementation/supporting-materials-by-standard/ifrs-10/.
44. ↑ "IFRS Accounting Taxonomy 2024 – Illustrative Examples". IFRS Foundation. https://www.ifrs.org/issued-standards/ifrs-taxonomy/ifrs-accounting-taxonomy-2024/.
45. ↑ "Frequently asked questions: Presentation of items of Other Comprehensive Income (Amendment to IAS 1)". IFRS Foundation. https://www.ifrs.org/content/dam/ifrs/project/revised-ias-1-phase-b-oci/ocifaq.pdf.

## See also

* Associate company
* Business valuation
* Consolidation (business)
* Enterprise value
* Minority interest

## Further reading

* Alexander, D., Britton, A., Jorissen, A., "International Financial Reporting and Analysis", Second Edition, 2005, ISBN 978-1-84480-201-2,
* Roy Dodge, Group Financial Statements, London: Chapman & Hall, 1996

0.00

(0 votes)

Original source: https://en.wikipedia.org/wiki/Consolidated financial statement. Read more

|

Retrieved from "https://handwiki.org/wiki/index.php?title=Finance:Consolidated_financial_statement&oldid=4188844"
*[v]: View this template
*[t]: Discuss this template
*[e]: Edit this template