{"id":1049,"date":"2020-03-25T14:34:57","date_gmt":"2020-03-25T13:34:57","guid":{"rendered":"https:\/\/eaa-online.org\/arc\/blog\/blog\/coronavirus-prompts-fca-request-delay-preliminary-financials\/"},"modified":"2020-03-25T14:34:57","modified_gmt":"2020-03-25T13:34:57","slug":"coronavirus-prompts-fca-request-delay-preliminary-financials","status":"publish","type":"post","link":"https:\/\/eaa-online.org\/arc\/blog\/2020\/03\/25\/coronavirus-prompts-fca-request-delay-preliminary-financials\/","title":{"rendered":"Coronavirus Prompts FCA to Request Delay in Preliminary Financials"},"content":{"rendered":"

This analysis was originally posted by Audit Analytics<\/a>.<\/p>\n

 <\/p>\n

The Financial Conduct Authority<\/a> (FCA) is taking measures to ensure that companies take the time they need to address the challenging and complex events coronavirus (COVID-19) has caused in recent weeks when preparing their annual financial statements.  As a result, on March 21, 2020, they requested<\/a> that companies delay publishing their previously scheduled preliminary<\/em> results for two weeks.<\/p>\n

According to the FCA, this decision had been made in conference with both the Financial Reporting Council<\/a>, the public company accounting regulator, and the Prudential Regulation Authority<\/a>, who oversees financial institutions and insurance companies.<\/p>\n

The main intention of the voluntary moratorium is to allow companies to fully address and disclose the challenges they are facing as a result of COVID-19. The impacts of this pandemic have been developing rapidly, and delaying results may allow companies better footing to fully disclose the expected impact, in addition to allowing companies and audit professionals more time.<\/p>\n

The FCA notes that the timetables established prior to the crisis are no longer applicable and may put undue pressure on companies and the audit profession during this trying time.<\/p>\n

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The FCA further noted in their announcement that the Market Abuse Regulation remains “in full force and listed companies are still required to announce inside information to the market as soon as possible.”<\/p>\n

A number of companies have already announced compliance with the request.<\/p>\n