The mining industry has continued to face significant uncertainty, volatility and pressure for cost containment. This unpredictable business environment has given rise to a number of reporting trends geared towards providing stakeholders and users of the financial statements with a more transparent view of a company’s position. These are the conclusions from the latest KPMG Mining Reporting Survey.
The Survey is a bi-annual publication that looks at reporting trends in the mining industry as well as common business practices. In addition, it represents an analysis of the reporting of 25 industry-leading, global mining firms.
The evolving business environment that the mining industry has continued to face over the last several years has had a significant impact on reporting in the industry. Against that backdrop – the report looks at common trends within the industry as well as specific examples of how industry-leading firms are treating various aspects of reporting.
“This latest Mining Reporting Survey focuses on, namely estimates and judgments, valuation, Non GAAP measures, risks and other reporting trends,” says Jacques Erasmus, Global Head of Mining for KPMG in South Africa.
With all of that in mind, disclosures in these areas are becoming increasingly prevalent, as companies try to provide stakeholders with disclosure of the ‘critical judgments’ and estimates management is required to make.
If you have any questions or would like to discuss the contents of this report, please contact your local KPMG adviser or any of KPMG’s professionals listed in the publication.