A Closer Look at the New IFRS Accounting Standard IFRS 18 „Presentation And Disclosure In Financial Statements” and his Impact on Company Reporting in the Future

Andreea Paula Dumitru ()
Additional contact information
Andreea Paula Dumitru: Senior Lecturer Ph.D. Faculty of Economics and Business Administration Nicolae Titulescu University, Bucharest, ROMANIA

Global Economic Observer, 2026, vol. 14, issue 1, 51-56

Abstract: In April 2024, the International Accounting Standards Board (IASB) has published a new accounting standard to be used by IFRS reporters from 2027, IFRS 18 ”Presentation and Disclosure in Financial Statements”. The new standard will transform the look of the income statement and aims to improve comparability and transparency of financial reporting. Who will the changes impact?All entities reporting under IFRS Accounting Standards will be required to adopt IFRS 18 which will replace IAS 1 ”Presentation of Financial Statements”. The main objective of the article is to present the main changes in the presentation of financial statements resulting from IFRS 18 that will affect financial reporting for periods beginning from 2027. The changes in the structure and content of financial statements are considered from the perspective of the needs of potential investors as well as other stakeholders. The paper shows that changes in the structure of IFRS’s financial statements are focused on the increasing value for investors and that they improve financial performance reporting. IFRS 18 has introduced an obligation to disclose more subtotals in the income statement as well as information about management-defined performance measures. On the other hand, this accounting standard may still have a positive impact on transparency of financial statements reducing additional disclosures alongside with the presumed improvement in the quality of the financial result presented in the income statement. The considerations may constitute an impact for the preparers of financial statements under IFRS to improve the informative value of the financial statements.

Keywords: Accounting Standards; Financial Statements; Comparability; Stakeholders (search for similar items in EconPapers)
Date: 2026-06
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.globeco.ro/wp-content/uploads/vol/spli ... ol14_no1_art_005.pdf First version, 2026 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ntu:ntugeo:vol14-iss1-51-56

Access Statistics for this article

Global Economic Observer is currently edited by Serghei Margulescu and Simona Moagar-Poladian

More articles in Global Economic Observer from "Nicolae Titulescu" University of Bucharest, Faculty of Economic Sciences Contact information at EDIRC., Institute for World Economy of the Romanian Academy
Bibliographic data for series maintained by Stefan Ciucu ( this e-mail address is bad, please contact ).