If you'd like benchmarked analysis of your company’s reporting to help you identify key areas to focus on, please contact Mark O’Sullivan.
Our latest analysis of reporting from leading UK listed companies shows that many key areas of business are well communicated and have improved in recent years. The findings also highlight areas where many have work to do to report clearly and meet stakeholder expectations.
The report includes 12 tips to improve reporting and gives examples of good practice.
“Presenting relevant, reliable and timely information is essential for investors and other stakeholders. If business performance and prospects are not clear, it can really dent a company’s reputation and affect access to capital, credit and talent.”
Charles Bowman, Corporate reporting partner, PwC
|Communicating performance and prospects||What’s working||And what’s not|
|Strategy||99% include strategic priorities||34% integrate reporting on strategy with the rest of the report|
|Business model||94% include the term ‘business model’||11% have clear links between their business model and other aspects of their reporting|
|External drivers||88% discuss future market trends||22% report external drivers in a way that gives clear context for strategy|
|Risk||94% explain the nature and mitigation of risks||35% cross-reference to show how risks impact strategy, the business model and other areas
32% explain how the risks have changed over time
|KPIs||96% explicitly identify key performance indicators||39% provide targets for their KPIs|
|Segments||88% report on drivers of financial performance in each segment||10% clearly align strategy and KPIs at segment level|
|Source: PwC 2013 survey of FTSE 100 reporting: Communicating performance and prospects|
Effective reporting is essential to building trust and confidence in UK businesses – but it’s an ongoing challenge in a fast-changing business environment. And this year there are additional challenges with significant new regulations on narrative reporting and remuneration reporting from BIS and new governance requirements with the FRC's 'fair, balanced and understandable’ rule.