ob体育鈥檚 ongoing financial reporting surveillance program and subsequent inquiries of a selection of 30 June 2022 annual reports has led to a further six listed entities disclosing material business risks in their 31 December 2022 interim financial reports.
The six entities (which made disclosures between 22-28 February 2023) are DomaCom Limited, Dubber Corporation Limited, Family Zone Cyber Safety Limited, Maas Group Holdings Limited1, SILK Laser Australia Limited and Zelira Therapeutics Limited.
Sixteen listed entities have now made additional risk disclosures through market announcements or subsequent interim financial reports, following ob体育 inquiries of their 30 June 2022 annual reports.
The disclosures were in response to ob体育鈥檚 concerns that the risks had not been sufficiently disclosed in the operating and financial review (OFR) of the directors鈥� report.
Separately, DomaCom Limited also provided improved disclosure clarifying the nature and performance obligations in relation to campaign management fees (previously described as upfront platform fees). This followed ob体育鈥檚 inquiries about the recognition of upfront platform fees. The enhanced disclosures did not impact on the recognition and measurement of revenue.
ob体育 reminds directors of the importance of a high-quality operating and financial review, including disclosure of material risks that may affect the achievement of a listed entity鈥檚 strategies and prospects. Directors must ensure that they provide investors with useful and meaningful information about the impact on current and future performance of changing and uncertain market conditions.
ob体育 encourages investors and other interested parties to review the additional materials disclosed by these entities in their OFRs. ob体育 also suggests preparers of the OFR for other entities review the additional disclosures being made by these entities, as this may assist them to improve their own disclosure.
ob体育 continues to closely review a selection of annual reports on a risk-based approach, to ensure entities are correctly disclosing their material business risks as part of the directors鈥� report.
Background
ob体育 previously highlighted it would review disclosures in the financial reports and OFRs of listed entities (22-124MR).
ob体育 also previously announced improved material business disclosures by listed entities, as a result of its ongoing financial reporting surveillance program (22-332MR, 23-018MR).
ob体育 Regulatory Guide 247 Effective disclosure in an operating and financial review provides guidance for directors of listed entities on providing useful and meaningful information to investors in an OFR.
On 27 April 2023, an amendment was made to this release to more accurately identify one of the entities named in the release.