Tentative decisions

Business Combinations—Disclosures, Goodwill and Impairment — The IASB retained the project objective and its core approach: requiring disclosure of business combination performance and synergies (with subset exemptions), pursuing targeted improvements to the IAS 36 impairment test to mitigate management over-optimism, and making related amendments to transition requirements in IFRS 3 and IAS 36. All 14 members agreed.

Updating IFRS 19 Subsidiaries without Public Accountability: Disclosures — The IASB tentatively decided to retain proposals on IFRS 18 alignment and lack of exchangeability, but withdrew the proposed definition of supplier finance arrangements and deleted related disclosure requirements on payment due dates. The IASB also added "known or reasonably estimable" language to Pillar Two guidance and deleted specific financial instruments classification paragraphs. Thirteen of 14 members supported supplier finance and Pillar Two changes; all 14 agreed on financial instruments deletions.

Active projects

Financial Instruments with Characteristics of Equity — The IASB discussed possible refinements to presentation and disclosure requirements following stakeholder feedback on the Exposure Draft; no decisions were made. Next: stakeholder consultation on proposed changes.

Amortised Cost Measurement — The IASB reviewed project plan, consultative group feedback, and a preparatory timeline for deliberations on application issues; no decisions taken. Next: discussion of application issues within project scope.

Intangible Assets — The IASB received summaries of stakeholder meetings, user surveys, and research findings; no decisions were made. Next: analysis of feedback and determination of project advancement strategy.

Business Combinations—Disclosures, Goodwill and Impairment — Tentative decisions confirmed (see above). Next: continued discussions on performance disclosure and expected synergies requirements.

Updating IFRS 19 Subsidiaries without Public Accountability: Disclosures — Tentative decisions confirmed (see above). Next: balloting process decision, with amendments targeted for H2 2025 issuance.

What it means for preparers

• Business combination disclosures expand: Entities will soon disclose performance metrics and quantified synergies from acquisitions (with targeted scope and exemptions). Begin preparing data collection processes for post-combination performance tracking and synergy reconciliation.

• Goodwill impairment testing refinement pending: Changes to IAS 36 will target reduction of management bias and unnecessary complexity in impairment calculations. Monitor the IASB's deliberations for detailed guidance on revised testing mechanics and transition relief.

• IFRS 19 (SME) finalisation nearing: Amendments to supplier finance disclosures, Pillar Two tax guidance, and financial instruments classification are moving toward balloting (H2 2025 issuance expected). SME preparers and non-public entities should review the withdrawn supplier finance definition and simplified disclosure requirements.

Standards in scope

• IFRS 3 Business Combinations
• IAS 36 Impairment of Assets
• IFRS 18 Presentation and Disclosure in Financial Statements
• IFRS 19 Subsidiaries without Public Accountability: Disclosures
• IFRS 9 Financial Instruments (referenced in IFRS 19 amendments)
• IAS 32 Financial Instruments: Presentation (referenced in IFRS 18 alignment)