UK FRC Report on performance metrics (22 June)

The metrics chosen by companies to report their performance should:

  • be clearly aligned to the company’s strategic goals,
  • be transparent on how they are calculated and
  • provide sufficient information that allows comparisons to be made to previous years’ performance.

A new report from the Financial Reporting Lab (the Lab) states that investors are calling on companies to reassess how they report their performance metrics. The report, ‘Performance metrics – an investor perspective’, sets out investors’ views on the reporting of performance metrics.  It includes a framework and set of questions for companies and their boards to consider when deciding on how they report their performance.

For further information : https://www.frc.org.uk/news

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