XRB issues research report on APMs
10 Jul 2017
The New Zealand External Reporting Board (XRB) has released a research report on findings from a survey which examined how alternative performance measures (APMs) are viewed by users in New Zealand.
The report included the following survey results:
- Most surveyed believe APMs are useful for assessing a company’s performance as a supplement to GAAP measures.
- Explanations on APMs used are critical in understanding the APMs and its relationship to GAAP measures.
- Some respondents did not agree with the choice of certain APMs.
- Respondents prefer to have clear and standardized definitions applied to APMs.
- Some respondents are skeptical in the application of APMs since they may have a tendency to portray more favorable results when compared against the GAAP measures.
- Majority of respondents feel that APMs should be assured.
For more information, see the report summary and full report on the XRB's Web site.