Statutory Reporting

Statutory reporting covers the financial reports a business is legally required to file with a regulator, tax authority, or company registry, as distinct from internal management reporting.

What separates statutory from management reporting

Management reporting answers to the people running the business. The format follows whatever helps them decide: contribution margin by segment, a rolling view, non-GAAP measures, a chart of accounts arranged around cost centers. Statutory reporting answers to an external authority, and almost everything is constrained. The framework is prescribed, usually IFRS or a local GAAP. The presentation shape is prescribed. Deadlines, filing format, and language are prescribed. Where a group operates in several jurisdictions, each entity may file under a different local framework while the group consolidates under one.

The consequence is that the same underlying transactions produce two sets of numbers that must agree in substance while differing in presentation. A management P&L and a filed P&L drawn from the same ledger should reconcile line by line, and when they do not, the gap is usually an adjustment somebody made in a spreadsheet and never documented.

Why statutory reporting breaks

Three patterns account for most of the pain. First, late adjustments: entries posted after the management pack circulated, so the filed figures no longer match what leadership saw. Second, entity-level drift, where one subsidiary’s local filing uses a treatment the group model does not reflect. Third, evidence decay. A regulator or auditor asks about a figure months after filing, and the supporting workbook has been edited, renamed, or lost.

None of these are exotic. They are what happens when the filed number and the number in the model live in different systems with a manual bridge between them.

How Rexfin handles it

Rexfin’s IFRS presentation shape and per-entity citation trail support statutory-reporting workflows without breaking the chain back to each entity’s filed source. Actuals are reconciled once into a governed model, calculations run deterministically rather than through ad hoc spreadsheet formulas, and each figure carries a citation, so an entity-level question can be answered from the record instead of from memory. The same trail carries through consolidation into the group statements.