Transition to IFRS

Since 1 January 2015 VVO Group prepares its consolidated financial statements, including the interim reports, in accordance with International Financial Reporting Standards (IFRSs). For periods up to and including the year ended 31 December 2014, VVO has drawn up its consolidated financial statements in accordance with Finnish Accounting Standards (FAS). The Group’s date of transition to IFRS was 1 January 2014. VVO has applied IFRS 1 First-time Adoption of International Financial Reporting Standards in the transition.

The current reporting period presented in this interim report is the first quarter as at and for the period ended 1 January – 31 March 2015, together with the IFRS-compliant comparative data for the period 1 January – 31 March 2014.

The transition from FAS to IFRS has affected the reported financial position, financial performance and cash flows of VVO Group. The most significant impacts relate to the following:

  • Measurement of investment property
  • Recognition of deferred taxes
  • Measurement of financial instruments
  • Changes in consolidation methods.

In the following is presented the more detailed transition disclosure on the financial performance, financial position and the most important key ratios of VVO Group. The presented figures are unaudited.

Reconciliations and explanation of the most significant impacts due to the transition

The impacts of the transition from FAS to IFRS on the financial position and financial performance of VVO Group are described accordingly. The following reconciliations are presented below:

  • Reconciliations of the consolidated equity reported in accordance with FAS to the consolidated equity in accordance with IFRS, as at 1 January 2014 (opening IFRS balance sheet) and as at 31 December 2014.
  • A reconciliation of the total consolidated profit in accordance with FAS to the total consolidated comprehensive profit in accordance with IFRS for the financial year 2014