A finished study on a fictitious company, published so you can read one before uploading anything.
Atlantis Semiconductor Ltd
CompletedHigh
FY2025
Capitalised development costs double against flat research expense
Development capitalised in the closing year is half again the charge taken to the income statement, and the research expense beside it has not moved in three years. The policy is disclosed and the useful life is stated; what changed is how much of the spend sits on the balance sheet.
“Development costs of 612 million were capitalised in the year, against research and development expense of 214 million charged to the income statement.”
Indicators: Soft Assets Ratio
Document reviewCost capitalisation policyconfidence high
High
FY2024
Receivable days lengthen after the distributor change
Days sales outstanding lengthened by fifteen days in the year the group changed distributor, and the balance grew faster than revenue. The filing states the cause; the reading is that cash is following the reported sale more slowly.
“Trade receivables stood at 1,102 million at the year end and days sales outstanding lengthened to 96 days from 81 days after the change of distributor in the third quarter.”
Indicators: Days Sales Outstanding
Document reviewRevenue recognition policyconfidence high
Medium
FY2024
Segment result excludes a restructuring charge the group result carries
The measure reported to management is stated before a restructuring charge of 88 million, so the segment table shows a result the group statement does not.
“Segment result excludes a restructuring charge of 88 million that the group result carries”
Line items: Operating Income
Document reviewCompany-defined measureconfidence moderate
Medium
FY2023
Provision policy rests on management judgement of the age profile
The filing states that the provision is set by judgement on the age profile of the inventory rather than by a stated rule, and that it was reduced again in the year.
“The provision against slow-moving parts is set by management judgement on the age profile of the inventory and was reduced in the year from 3.4 per cent of the balance to 3.1 per cent.”
Line items: Inventories
Document reviewProvision or reserve judgementconfidence moderate
Low
FY2023
Audit opinion unmodified in every year read
Each filing carries an unmodified opinion, and no matter was reported under the going-concern requirements.
“The audit opinion is unmodified in every year presented”
Line items: Audit Opinion
Document reviewGovernanceconfidence high
Showing 5 of 12 · a finding rests on figures this study published, a quoted passage, or bothTypologies: Provision or reserve judgement · Cash flow classification · Cash quality · Company-defined measure · Cost capitalisation policy · Governance · Margin quality · Revenue recognition policy