Nightmares in accounting: Pick n Pay’s headache
Wrestling with new accounting rules is probably the last thing SA’s retailers need right now. But it’s not all bad
Pick n Pay CEO Richard Brasher was warned not to make any jokes during the webcast session on the group’s adoption of International Financial Reporting Standard 16 (IFRS 16).
Given the huge amount of work created by the introduction of the latest accounting standard and the dramatic changes to the presentation of the group’s results it requires — an extra R16bn debt on the income statement — it seemed a reasonable enough warning.