Is your financial reporting, as it stands, enough? Does it only dot the i’s and cross the t’s? Or is it strategic and robust with best practice?
These are some critical questions asked by a specialist South African financial reporting firm, Greymatter & Finch, when they consider the importance and the impact on investor relations of so-called integrated reporting.
This week, a Reporting Strategist at Greymatter & Finch, Lelanie Hohls, presented a workshop to a number of Namibian companies who share the host, Capricorn Group’s zeal for driving sound investor relations through effective company communication, and most importantly, through integrated reporting that presents stakeholders with a holistic picture of the group.
Capricorn Group realised the importance of a comprehensive integrated report, covering far more than only the financials of its operating entities, soon after it listed on the Namibia Stock Exchange in June 2013.
Starting in 2015, it took its first bite into integrated reporting with its first Integrated Annual Report published in 2016. This extensive form of reporting was refined in the following two years with the result that the Capricorn Group Integrated Annual Report received the Regional Company Award at the Annual Integrated Reporting Awards hosted by Chartered Secretaries Southern Africa together with the Johannesburg Securities Exchange.
These awards confirmed that Capricorn Group’s Integrated Annual Report adheres to the International Integrated Reporting Council’s IR framework which is seen internationally as best practice in transparent communication with shareholders and other stakeholders.
The tangible benefits the group has derived from its Integrated Annual Reports prompted them to invite Greymatter & Finch to Windhoek to share the process with other local companies intent to follow their example. Wednesday’s workshop provided a starter guide for the journey to integrated reporting.
The workshop saw active participation from the NSX, PSG Namibia and Capricorn Asset Management, providing participants with an update on the Namibian listing environment, a perspective on what investors and analysts look for in an integrated report, and placing it all in the context of the current economic environment.
The group stated that integrated reporting enhances accountability, stewardship and trust, and provides investors with the information they need to make effective investment decisions to improve the outcomes of long-term investments.
Caption: Lelanie Hohls (middle), a Reporting Strategist at Greymatter & Finch, visited Windhoek this week to conduct a workshop on the start of the corporate journey to integrated reporting. She was the guest of Capricorn Group who embarked on this process in 2015. On the left is the Group Executive, Brand and Corporate Affairs, Marlize Horn and on the right the group’s Chief Financial Officer, Jaco Esterhuyse.