IFRS Practice Statement 1
Management Commentary (MPS1)
Provides a broad, non-binding framework for presenting management commentary on financial statements that have been prepared in accordance with IFRS Standards.
The International Accounting Standards Board (IASB) has issued a revised Practice Statement on management commentary, in June 2025. The revised Practice Statement supports improvements to and greater global alignment in management commentary and narrative reports accompanying the financial statements and is effective for annual reporting periods beginning on or after the date of its issued (23 June 2025).
If your entity prepares general purpose financial reports in accordance with NZ IFRS, you may elect to apply the principles contained in MPS1 to management commentary that relates to those financial reports.