TECHNOPOLIS PLC STOCK EXHANGE RELEASE January 23, 2018 at 9:00 a.m. EET
Technopolis Amends Its Accounting Policy Regarding Deferred Taxes
Technopolis is amending its accounting policy regarding deferred taxes in accordance with the IFRS Interpretations Committee agenda decision of 15–16 July 2014 and is restating its financials for 2016 and the first three quarters of 2017 accordingly.
Under the former accounting policy, Technopolis calculated the deferred tax assets and liabilities of investment properties based on the temporary difference between the fair value of the shares and the acquisition cost of the real estate company. The former policy was in line with the common market practice with respect to the disposal of properties by means of selling shares in the property company.
Whereas, according to the IFRS Interpretations Committee’s agenda decision, deferred taxes are to be recognized based on the difference between the fair value of the properties and the residual tax value of the underlying assets. Technopolis has brought its accounting policy in line with the agenda decision. The change will be effective from the fourth quarter reporting 2017. The financials for fiscal year 2016 and January–September 2017 will be restated for comparison purposes.
The change will have an impact of EUR +25.9 million on deferred tax liabilities on September 30, 2017, EUR -26.9 million on total shareholder’s equity on September 30, 2017 and EUR +4.6 million on net result for the January–September 2017 period. The amendment does not have any cash flow effect.
The restated key ratios for January–September 2017 are as follows:
- Earnings per share: EUR 0.33 (earlier reported EUR 0.30)
- Equity ratio: 42.9% (44.4%)
- Equity per share: EUR 3.95 (4.10)
- EPRA net asset value per share: EUR 4.46 (4.44)
More detailed figures are attached as an appendix to this release, where all items with changes are highlighted.
Technopolis’ guidance for 2017 remains unchanged.
Additional information:
Sami Laine, CFO
tel. +358 40 502 7083
sami.laine@technopolis.fi
DISTRIBUTION
Nasdaq Helsinki Oy
Main financial media
www.technopolis.fi/eng
Technopolis provides the best addresses for success in six countries in the Nordic-Baltic region. The company develops, owns and operates a chain of 17 smart business parks that combine services with flexible and modern office space. The company’s core value is to continuously exceed customer expectations by providing outstanding solutions to 1,600 companies and their 50,000 employees in Finland, Sweden, Norway, Estonia, Russia and Lithuania. The Technopolis Plc share (TPS1V) is listed on Nasdaq Helsinki.
