Fresh approach to annual reporting

Annual reporting to Ātihau-Whanganui Incorporation shareholders will include more detailed information on debt, strategy, and performance, presented in ways that are easier to understand.

Following an independent review, a new reporting framework will enhance the way Ātihau-Whanganui Incorporation (Ātihau) reports performance, communicates with shareholders and tells stories that give meaning to the facts and figures presented.

The four-month review canvassed whānau for their views on how annual reporting to shareholders could focus on presenting more of the information they want and help them make sense of the financials.

Following the consultation process, business advisor KPMG recommended a four-year work programme to introduce an Integrated Reporting framework.

KPMG consulting partner Kaapua Smith (Ngāti Apa, Ngāti Awa, Ngāti Porou) led the review.

“By conducting a current-state review and receiving feedback from shareholders, we have been able to gain a much deeper understanding of what it is shareholders would like to get out of Ātihau’s report.”

She says Integrated Reporting will enhance communication and grow stronger relationships with shareholder whānau and stakeholders.

The review confirmed that current reporting includes the typical components of a standard annual report, focused on the previous financial year in line with other Māori incorporations and trusts of a similar size and nature.

However, shareholders asked for the financial reports to be made more readable and wanted more detail on debt, core assets, strategy and performance, including business unit comparisons for the farms and apiary.

Ātihau CEO Andrew Beijeman said changes over the next four years would introduce targeted detail – for example, additional performance metrics – and a closer focus on future challenges and opportunities.

“The new reporting will cover some of the same information but will also include more detailed information and storytelling to better understand the historical context and the meaning behind the numbers, including where we’ve come from, our historical context, our strategy, and how we generate value.

“It will detail our performance for the year, our environmental impact, and our impact on our community. There will also be an overview of the year ahead, the key risks and how we will manage them. Finally, there will be a summary of the financials, and this will be presented in a slightly different way to enhance understanding.”

He said it will take four years to introduce all the recommended changes.

“In the upcoming annual reporting, expect to see the first changes, starting with new reporting on individual business units.

“It will also feature enhanced infographics (for example, for key performance indicators), the key achievements and challenges of the year, as well as the customary financial statements including profit, income and expenses.”

Andrew said more work may be needed to drill down into the types of performance measures shareholders would like to see, but Ātihau now had an excellent foundation for designing the new framework in detail.

“It has definitely been a worthwhile experience to know what information we need to be sharing and where we need to do better in our reporting and communications. There was a lot of value in going out and consulting with shareholders and understanding what they want to see.”

Tikanga and Brand Manager Whetu Moataane said the review process had made it clear that more information should be shared throughout the year.

“This might be on our social media platforms, it might be in webinars, or it might mean our directors going out on the road regularly to talk to people kanohi-ki-te-kanohi”