Improvements are needed in the reporting quality of AIM listed business, the Financial Reporting Council said this week.
In its annual review of company accounts the Financial Reporting Review Panel (FRRP), part of the Financial Reporting Council (FRC), said there was room for improvement in the general quality of reporting by some smaller listed and AIM-quoted companies.
The panel reviewed 308 sets of accounts in the past year, of which 146 companies were asked to provide further information and three shamed into restating reported figures.
The board said it invested a lot of time asking companies to resolve inconsistencies between narrative information in the front end of annual reports and the audited accounts in the back end.
Narrative reporting, specifically the business review,...