The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Europe’s oil and gas CFOs braced for accounting change

It is being labelled as the biggest accounting shake-up in 25 years. And oil and gas utilities throughout Europe must take note. International Financial Reporting Standards will soon replace national accounting standards, and according to PricewaterhouseCoopers, CFOs are asking for the necessary investment to implement the changes.

Utilities must be able to analyse the impact of IFRS on corporate performance, create systems to report to regulatory bodies, and educate investors and shareholders about the changes. This must take place before IFRS implementation in 2005.

With IFRS in place, corporates across the EU will be able to offer directly comparable corporate information. But the increased transparency will bring fresh issues. Investor relations will become ever more of an issue for the oil and gas utilities, while non-financial barometers - such as customer satisfaction - will increase in importance.

"The change to IFRS is expected to trigger larger swings in reported profits, reflecting fluctuations in derivatives values. Lack of awareness and understanding across the broader financial community could create investor concern and share price volatility," says Manfred Wiegand, global utilities leader at PwC.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree