KPMG has welcomed the publication today of the International Integrated Reporting Council’s Integrated Reporting Framework as an important step on the journey towards better business reporting. According to KPMG, Integrated Reporting is an opportunity to align business reporting more closely with shareholder value that could ultimately support a more stable business and investment environment.
Larry Bradley, Global Head of Audit at KPMG International, said: “It is time to move business reporting beyond merely a discussion of past financial performance. Integrated Reporting can play a key role in the drive for better business reporting.”
According to KPMG, businesses can struggle to communicate their progress in developing and protecting their prospects through traditional reporting. KPMG said that the final version of the Framework could prove an effective tool for businesses looking to shift their reporting focus from short term financial performance to long term shareholder value creation.
KPMG expects that the Framework will be most attractive to companies as a means for developing their existing narrative reporting rather than as a basis for an additional, standalone, integrated report.
David Matthews, leader of KPMG’s Integrated Reporting team and KPMG partner in the UK, said: “Building narrative reporting around the business model to explain how the business has been developed should be particularly attractive to management teams looking to move their investor dialogue beyond short-term earnings.”
Media enquiries to:
Mark Hamilton, KPMG Corporate Communications 020 7694 2687
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with over 12,000 partners and staff. The UK firm recorded a turnover of £1.8 billion in the year ended September 2012. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 156 countries and have 152,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. KPMG International provides no client services.