Which Analysts Benefited Most from Mandatory IFRS Adoption in Europe?

2017 ◽  
Vol 16 (3) ◽  
pp. 171-190 ◽  
Author(s):  
Christof Beuselinck ◽  
Philip P. M. Joos ◽  
Inder K. Khurana ◽  
Sofie van der Meulen
Keyword(s):  
Forecast Accuracy ◽  
High Variability ◽  
Earnings Forecast ◽  
The European Union ◽  
Listed Firms ◽  
Reporting Practices ◽  
Ifrs Adoption ◽  
One Year ◽  
First Time ◽  
Research Structure

ABSTRACT This study examines whether financial analysts' research structure and portfolio selection choices helped in improving relative earnings forecast accuracy around mandatory IFRS adoption in Europe. Using a sample of 68,665 one-year ahead forecasts for 1,980 publicly listed firms, we find that market-wide mandatory IFRS adoption in the European Union resulted in a significant improvement in the relative forecast accuracy of sector specialists compared to generalists, while country specialists retained a relative accuracy advantage independent of the period of study. Moreover, sector specialists outperformed generalists especially for firms with large local GAAP to IFRS income reconciliations in the first-time IFRS adoption year and when analysts' research portfolios prior to IFRS adoption exhibited high variability in local GAAP reporting practices. Additional analysis indicates that IFRS enabled analysts to initiate coverage of more firms, especially smaller ones, in their sector of specialization. Overall, our results are consistent with the notion that mandatory IFRS adoption in Europe reduced information processing costs and enlarged the within-industry valuation scope. JEL Classifications: G15; M41.

scholarly journals Does Auditor Industry Specialization Increase Analysts’ Forecast Accuracy? Evidence from the Listed Firms of Australia

2020 ◽  
Vol 16 (3) ◽  
pp. 46
Author(s):  
Aditi Shams
Keyword(s):  
Audit Quality ◽  
Empirical Test ◽  
Forecast Error ◽  
Forecast Accuracy ◽  
Earnings Forecast ◽  
Forecast Errors ◽  
Forecast Dispersion ◽  
Industry Specialization ◽  
Listed Firms ◽  
Auditor Industry Specialization

This paper examines the relation between auditor industry specialization and analysts’ beginning-of-the-year earnings forecast accuracy. It predicts that the higher industry specialization of the auditors will improve the quality of external financial reports and thus mitigates the analysts’ forecast error. It also predicts that higher audit quality will have a negative association with analyst forecast dispersion. The empirical test results on Australian listed firms from the year 2003 to 2012 does not find evidence of association between audit firm industry specialization and analysts’ beginning-of the year earnings forecast error. However, firms with higher analysts forecast error is associated with lower forecast dispersion among analysts, which is consistent with the prediction that analysts are consistent with predicting future earnings and analysts possess similar traits in terms of difference with the actual earnings. Additional analysis also finds that’s larger firms have less forecast errors compared to smaller firms. The findings contribute to the growing literature on auditing and financial reporting quality in Australian context.

scholarly journals COMPLIANCE WITH IFRS REQUIRED DISCLOSURE AND ANALYSTS’ FORECAST ERRORS: EVIDENCE FROM BRAZIL

2018 ◽  
Vol 29 (1) ◽  
pp. 77-100 ◽  
Author(s):  
Edilene Santana Santos ◽  
Flávia Almeida Morato da Silva ◽  
Hsia Hua Sheng ◽  
Mayra Ivanoff Lora
Keyword(s):  
Financial Reporting ◽  
Negative Relationship ◽  
Forecast Accuracy ◽  
Economic Benefits ◽  
Earnings Forecast ◽  
Forecast Errors ◽  
Ifrs Adoption ◽  
Compliance Level ◽  
Before And After ◽  
The Impact

We analyze the relationship between analysts' earnings forecast errors and Brazilian listed firms’ compliance with International Financial Reporting Standards (IFRS) required disclosure. Through analysis of a panel data, we examine whether the variance in the Brazilian firms’ disclosure compliance levels in the Notes to Financial Statements for 2010 and 2012 affects analysts’ earnings forecast errors for 2011 and 2013, respectively, finding a significant negative relationship between these variables. By performing a compliance level analysis per firm, our study considers whether and to what extent firms effectively disclose as required by IFRS (as “IFRS serious adopters”), distinguishing them from firms that mere formally adopt IFRS (as “IFRS label adopters”), without effectively complying with it. Following other studies, we use four alternative models to measure the disclosure compliance level per firm, and we do not find significant improvement in the firms’ disclosure levels from 2010 to 2012, except if we use the most tolerant model.  By this approach, our research contributes to clarify the impact of IFRS adoption on analysts’ forecast accuracy, as other studies that use only binary variables (analysts’ forecasts before and after IFRS adoption) have found contradictory results. Our findings confirm other studies on the international accounting convergence in other countries, emphasizing that compliance is at least as important as the simply formal IFRS adoption. This corroborates the relevance of enforcement mechanisms to induce firms to better comply with IFRS, thus to better attain the economic benefits expected from its adoption.

Peculiarities of the juvenile period of the native Chechen genotypes of willow leaf pear (Pyrus salicifolia Pall.)

2020 ◽  
Vol 62 ◽  
pp. 32-38
Author(s):  
E. A. Dolmatov ◽  
R. B. Borzayev ◽  
A. N. Shaipov
Keyword(s):  
Chestnut Soil ◽  
Crop Breeding ◽  
Juvenile Period ◽  
Period 2 ◽  
Russian Research Institute ◽  
The Common ◽  
One Year ◽  
First Time ◽  
Selection Of ◽  
Creative Cooperation

The results of the study of the duration of the juvenile period of indigenous Chechen willow leaf pear genotypes (Pyrus salicifolia Pall.) are given in connection with the acceleration of the breeding process and the use of selected forms in pear breeding for high precocity. The studies were carried out in 2016-2019 at OOO “Orchards of Chechnya” in accordance with the Agreement on creative cooperation with the Russian Research Institute of Fruit Crop Breeding. The work was carried out in accordance with generally accepted programs and methods. The objects of the study were one-year and two-year-old pear seedlings obtained from sowing seeds of selected dwarf and low-growing local Chechen forms of willow pear (P. salicifolia Pall.), laying fruit buds on annual growths and seedlings of Caucasian pear (P. caucasica Fed.), 20 500 pcs. of each specie. The aim of the research was to study the potential of precocity of willow pear seedlings and to reveal of selected forms with the greatest degree of this trait. Stratified seeds were sown in the sowing department of the OOO “Orchards of Chechnya” production nursery in April, 2017. The seedlings were grown according to the common technology in dryland conditions on the plot with chestnut soil. The first fl owering of plants was noted in the spring, 2019. As a result of the research, for the first time on a large number of the experimental material it was found that in the off spring of the indigenous Chechen willow leaf pear genotypes, the selection of a little more than 2% of seedlings with a very short juvenile period (2 years) was possible. They are of great interest in accelerating the breeding process and in the selection of new pear varieties with high precocity. 20 willow leaf pear genotypes were selected for the further use in breeding for high precocity and as sources of the trait of short juvenile period.

Feasibility and Evaluation of Automated Methods for Radiolabeling of Radiopharmaceutical Kits with Gallium-68

2019 ◽  
Vol 12 (3) ◽  
pp. 229-237 ◽  
Author(s):  
Alban Revy ◽  
François Hallouard ◽  
Sandrine Joyeux-Klamber ◽  
Andrea Skanjeti ◽  
Catherine Rioufol ◽  
...  
Keyword(s):  
The European Union ◽  
Preparation Time ◽  
Limit Of Quantification ◽  
Manual Method ◽  
Personnel Costs ◽  
Automated Method ◽  
Gallium 68 ◽  
The Right ◽  
First Time ◽  
Automated Methods

Objective: Recent gallium-68 labeled peptides are of increasing interest in PET imaging in nuclear medicine. Somakit TOC® is a radiopharmaceutical kit registered in the European Union for the preparation of [68Ga]Ga-DOTA-TOC used for the diagnosis of neuroendocrine tumors. Development of a labeling process using a synthesizer is particularly interesting for the quality and reproducibility of the final product although only manual processes are described in the Summary of Product (SmPC) of the registered product. The aim of the present study was therefore to evaluate the feasibility and value of using an automated synthesizer for the preparation of [68Ga]Ga-DOTA-TOC according to the SmPC of the Somakit TOC®. Methods: Three methods of preparation were compared; each followed the SmPC of the Somakit TOC®. Over time, overheads, and overexposure were evaluated for each method. Results: Mean±SD preparation time was 26.2±0.3 minutes for the manual method, 28±0.5 minutes for the semi-automated, and 40.3±0.2 minutes for the automated method. Overcost of the semi-automated method is 0.25€ per preparation for consumables and from 0.58€ to 0.92€ for personnel costs according to the operator (respectively, technician or pharmacist). For the automated method, overcost is 70€ for consumables and from 4.06€ to 6.44€ for personnel. For the manual method, extremity exposure was 0.425mSv for the right finger, and 0.350mSv for the left finger; for both the semi-automated and automated method extremity exposure were below the limit of quantification. Conclusion: The present study reports for the first time both the feasibility of using a [68Ga]- radiopharmaceutical kit with a synthesizer and the limits for the development of a fully automated process.

The Union of Laughter and Forgetting? The European Union and the Construction of its own History

2006 ◽  
Author(s):  
Hernan Tesler-Mabe
Keyword(s):  
European Union ◽  
Great Part ◽  
The European Union ◽  
European Constitution ◽  
Close Study ◽  
Dramatic Shift ◽  
One Year ◽  
The Many ◽  
Teleological Interpretation ◽  
Compare And Contrast

As recently as one year ago, the European Union was seemingly on a direct path toward its avowed goal of "ever closer union." In numerous publications, EU authorities asserted that they had the confidence of European peoples desirous only of further integration. In the wake of the failed referenda for a European Constitution, however, enthusiasts of European Union can no longer be certain that their enterprise will succeed. The European Union, once strong and united, seems now an entity teetering on the edge of collapse. The reasons for such a dramatic shift are, of course, wide-ranging. Yet I would suggest that a great part of the general European disillusionment with European Union has come about as a result of the actions of the Europeanists themselves. Over the last decades, European officials have exhibited a frightfully high incidence of revisionism in their literature. This practice, I argue, has caused many Europeans to question the integrity of the project of European Union. For my presentation, I intend to undertake a close study of a selection of documents published by the European Communities. In this endeavour, I will compare and contrast the messages imparted in different editions of these works and consider the semiotic significance of the textual and non-textual language appearing therein. In this manner, I hope to achieve two aims. First, I mean to add a corrective element to a literature that, guided by a teleological interpretation of integration, endows integration with”logic" to be found only in hindsight. Second, I intend to examine the many meanings that the EU has had over its history and assess how closely policy has adhered to the ideological goals of prominent Europeanists. In sum, I hope to shed light on the fundamental disconnect between advocates of Europe and the "man on the street" and help establish a dialogue which may contribute to resolving the current impasse within the European Union. Full text available: https://doi.org/10.22215/rera.v2i4.178

Does the Mandatory Adoption of IFRS Improve the Association between Accruals and Cash Flows? Evidence from Accounting Estimates

2018 ◽  
Vol 33 (1) ◽  
pp. 39-59
Author(s):  
Jimmy F. Downes ◽  
Tony Kang ◽  
Sohyung Kim ◽  
Cheol Lee
Keyword(s):  
Financial Reporting ◽  
Cash Flows ◽  
Data Availability ◽  
The European Union ◽  
Accounting Quality ◽  
Financial Reporting Standards ◽  
Ifrs Adoption ◽  
Accounting Estimates ◽  
Accounting Accruals ◽  
Future Cash Flows

SYNOPSIS We investigate the effect of mandatory International Financial Reporting Standards (IFRS) adoption in the European Union on the association between accounting estimates and future cash flows, a key concept of accounting quality within the International Accounting Standard Board conceptual framework. We find that the predictive value of accounting estimates improves after IFRS adoption. This improvement is largely driven by specific types of accounting estimates, such as accounts receivable, depreciation, and amortization expense. We also find that the improvement is concentrated in countries with larger differences between pre-IFRS domestic GAAP and IFRS. Our findings suggest that IFRS allow managers to exercise their judgment to provide information about future cash flows through the more subjective/judgmental portion of accounting accruals. JEL Classifications: M16; M49; O52. Data Availability: The data used in this study are from public sources identified in the study.

Heart Transplantation for Pediatric and Congenital Cardiac Disease: A Comparison of Two Eras over 23 Years and 188 Transplants at a Single Institution

2021 ◽  
Vol 12 (1) ◽  
pp. 17-26
Author(s):  
Genevieve C. Tuite ◽  
James A. Quintessenza ◽  
Alfred Asante-Korang ◽  
Sharon R. Ghazarian ◽  
Bethany L. Wisotzkey ◽  
...  
Keyword(s):  
Heart Transplantation ◽  
Multivariable Analysis ◽  
Immunosuppressive Agent ◽  
Cox Proportional Hazard ◽  
Kaplan Meier ◽  
Congenital Cardiac Disease ◽  
Cox Proportional Hazard Models ◽  
One Year ◽  
Patterns Of Practice ◽  
First Time

Background: To assess changes in patterns of practice and outcomes over time, we reviewed all patients who underwent heart transplantation (HTx) at our institution and compared two consecutive eras with significantly different immunosuppressive protocols (cohort 1 [80 HTx, June 1995-June 2006]; cohort 2 [108 HTx, July 2006-September 2018]). Methods: Retrospective study of 180 patients undergoing 188 HTx (June 1995-September 2018; 176 first time HTx, 10 second HTx, and 2 third HTx). In 2006, we commenced pre-HTx desensitization for highly sensitized patients and started using tacrolimus as our primary postoperative immunosuppressive agent. The primary outcome was mortality. Survival was modeled by the Kaplan-Meier method. Univariable and multivariable Cox proportional hazard models were created to identify prognostic factors for survival. Results: Our 188 HTx included 18 neonates, 85 infants, 83 children, and 2 adults (>18 years). Median age was 260.0 days (range: 5 days-23.8 years). Median weight was 7.5 kg (range: 2.2-113 kg). Patients in cohort 1 were less likely to have been immunosensitized preoperatively (12.5% vs 28.7%, P = .017). Nevertheless, Kaplan-Meier analysis suggested superior survival in cohort 2 ( P = .0045). Patients in cohort 2 were more likely to be alive one year, five years, and ten years after HTx. Multivariable analysis identified the earlier era (hazard ratio [HR] [95% confidence interval] for recent era = 0.32 [0.14-0.73]), transplantation after prior Norwood operation (HR = 4.44 [1.46-13.46]), and number of prior cardiac operations (HR = 1.33 [1.03-1.71]) as risk factors for mortality. Conclusions: Our analysis of 23 years of pediatric and congenital HTx reveals superior survival in the most recent 12-year era, despite the higher proportion of patients with elevated panel reactive antibody in the most recent era. This improvement was temporally associated with changes in our immunosuppressive strategy.

To bee or not to beet with neonicotinoids

2021 ◽  
Vol 23 (2) ◽  
pp. 103-109
Author(s):  
Lynda M. Warren
Keyword(s):  
Sugar Beet ◽  
Weather Conditions ◽  
The European Union ◽  
Environmental Standards ◽  
Economic Interests ◽  
Precautionary Approach ◽  
The United Kingdom ◽  
Commercial Sugar ◽  
The Uk ◽  
First Time

In January 2021 the UK government granted an application for authorisation to use thiamethoxam, a neonicotinoid pesticide, to protect commercial sugar beet crops from attack by viruses transmitted by aphids. This was the first time such an authorisation had been granted in the United Kingdom (UK) and there were concerns that it signalled a weakening of environmental standards now that the UK was no longer part of the European Union. In fact, similar authorisations had been granted by several European Member States in the last 2 years, despite the ban on the use of neonicotinoids introduced in 2018. Nevertheless, the reasons for granting the authorisation do suggest that the balance between adopting a precautionary approach to environmental protection and taking emergency action to protect economic interests may have shifted. It was acknowledged that the proposed mitigation to safeguard bees and other wildlife was not entirely satisfactory. In the end, due to unforeseen weather conditions it meant that the pesticide is not necessary, which in itself demonstrates that short-term emergency measures are unsuitable for dealing with the problem. If the sugar beet industry is to continue to prosper in the UK, it will need to be managed in a way that provides resistance to virus infection without the use of controversial chemicals.

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