IAS 34 Objective Scope Definitions


The objective of this Standard is to prescribe the minimum content of an interim financial report and to prescribe the principles for recognition and measurement in complete or condensed financial statements for an interim period. Timely and reliable interim financial reporting improves the ability of investors, creditors, and others to understand an entity’s capacity to generate earnings and cash flows and its financial condition and liquidity.


1 This Standard does not mandate which entities should be required to publish interim financial reports, how frequently, or how soon after the end of an interim period. However, governments, securities regulators, stock exchanges, and accountancy bodies often require entities whose debt or equity securities are publicly traded to publish interim financial Read more

IAS 34 Content of an interim financial report

5 IAS 1 defines a complete set of financial statements as including the following components:

  1. a statement of financial position as at the end of the period;
  2. a statement of profit or loss and other comprehensive income for the period;
  3. a statement of changes in equity for the period;
  4. a statement of cash flows for the period;
  5. notes, comprising significant accounting policies and other explanatory information;
    (ea) comparative information in respect of the preceding period as specified in paragraphs 38 and 38A of IAS 1; and
  6. a statement of financial position as at the beginning of the preceding period when an entity applies an accounting policy retrospectively or makes a retrospective restatement of items in its financial statements, or
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IAS 34 Disclosure in annual financial statements

26 If an estimate of an amount reported in an interim period is changed significantly during the final interim period of the financial year but a separate financial report is not published for that final interim period, the nature and amount of that change in estimate shall be disclosed in a note to the annual financial statements for that financial year.

27 IAS 8 requires disclosure of the nature and (if practicable) the amount of a change in estimate that either has a material effect in the current period or is expected to have a material effect in subsequent periods. Paragraph 16A(d) of this Standard requires similar disclosure in an interim financial report. Examples include changes in estimate in the Read more

IAS 34 Recognition and measurement

Same accounting policies as annual

28 An entity shall apply the same accounting policies in its interim financial statements as are applied in its annual financial statements, except for accounting policy changes made after the date of the most recent annual financial statements that are to be reflected in the next annual financial statements. However, the frequency of an entity’s reporting (annual, half-yearly, or quarterly) shall not affect the measurement of its annual results. To achieve that objective, measurements for interim reporting purposes shall be made on a year-to-date basis.

29 Requiring that an entity apply the same accounting policies in its interim financial statements as in its annual statements may seem to suggest that interim period measurements are made Read more

IAS 34 Restatement interim reporting

Restatement of previously reported interim periods

43 A change in accounting policy, other than one for which the transition is specified by a new IFRS, shall be reflected by:

  1. restating the financial statements of prior interim periods of the current financial year and the comparable interim periods of any prior financial years that will be restated in the annual financial statements in accordance with IAS 8; or
  2. when it is impracticable to determine the cumulative effect at the beginning of the financial year of applying a new accounting policy to all prior periods, adjusting the financial statements of prior interim periods of the current financial year, and comparable interim periods of prior financial years to apply the new accounting
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IAS 34 Presentation of required periods

Illustrative examples

These illustrative examples accompany, but are not part of, IAS 34.

A Illustration of periods required to be presented

The following examples illustrate application of the principle in paragraph 20.

Entity publishes interim financial reports half-yearly

A1 The entity’s financial year ends 31 December (calendar year). The entity will present the following financial statements (condensed or complete) in its half-yearly interim financial report as of 30 June 20X1:

Statement of financial position:

At30 June 20X1 31 December 20X0

 Statement of comprehensive income:

6 months ending30 June 20X130 June 20X0

Statement of cash flows:

6 months ending30 June 20X130 June 20X0

Statement of changes in equity:

6 months ending30 June 20X1
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