Disclosure focus
This disclosure explains current effects on financial position, financial performance and cash flows and anticipated changes over the short, medium and long term. It also identifies risks with a significant risk of material adjustment to carrying amounts in the next annual period and applies the quantitative-information and relief requirements in IFRS S1.37–40.
This LRA educational guidance supports disclosure preparation. For the exact requirements, always refer to the official IFRS Foundation source.
Before you start
Before you start
A quick mental checklist before you prepare this disclosure — tick each as you settle it.
Preparation
Key information to prepare
| Preparation field | What to capture | Evidence hint | Owner |
|---|---|---|---|
| Current financial effects | Effects on financial position, financial performance and cash flows for the reporting period. | Current approved records and review evidence supporting current financial effects. | Sustainability reporting / relevant process owner |
| Significant risk of material adjustment | Identify risks for which there is a significant risk of a material adjustment to carrying amounts of assets and liabilities within the next annual reporting period. | Current approved records and review evidence supporting significant risk of material adjustment. | Sustainability reporting / relevant process owner |
| Anticipated financial position changes | Expected changes over short, medium and long term, considering investment/disposal plans and funding sources. | Current approved records and review evidence supporting anticipated financial position changes. | Sustainability reporting / relevant process owner |
| Anticipated financial performance and cash-flow changes | Expected changes over short, medium and long term. | Current approved records and review evidence supporting anticipated financial performance and cash-flow changes. | Sustainability reporting / relevant process owner |
| Quantitative or qualitative information and relief assessment | Apply paragraphs 37–40, including ranges, single amounts or qualitative information where permitted. | Current approved records and review evidence supporting quantitative or qualitative information and relief assessment. | Sustainability reporting / relevant process owner |
| Preparation basis | Explain how financial effects were determined and material assumptions/uncertainties where required. | Current approved records and review evidence supporting preparation basis. | Sustainability reporting / relevant process owner |
How to prepare it
Request the data
Request the disclosure evidence
Translate the disclosure into an internal business question — then adapt it to your organisation's own language.
For each material sustainability-related risk or opportunity, provide current effects on financial position, performance and cash flows; any significant risk of material adjustment to carrying amounts in the next annual period; anticipated changes over short, medium and long term; related investment/disposal plans and funding sources; and the basis and assumptions used.
Use the organisation's own role and document names, but preserve the defined IFRS / ISSB terms and the scope described above.
Better request
For each material sustainability-related risk or opportunity, provide current effects on financial position, performance and cash flows; any significant risk of material adjustment to carrying amounts in the next annual period; anticipated changes over short, medium and long term; related investment/disposal plans and funding sources; and the basis and assumptions used.
Draft your disclosure
Notes that turn data into a disclosure
LRA training templates — adapt them to your organisation, and check the official source before sign-off.
Method note
Prepare current financial effects; significant material-adjustment risks; anticipated financial-position, performance and cash-flow changes; investment/disposal and funding considerations; and the paragraph 37–40 quantitative/qualitative basis.
Context note
Apply IFRS S1.34–37 using the exact paragraph scope and cross-references stated in the official IFRS source.
Download Centre
Preparation tools & forms
Professional preparation tools for s1-34-37 — free with verified email access. Enter the code we send you once and use downloads, report links and the LRA AI Assistant for 24 hours.
Assurance readiness
For each claim, check the evidence
| Claim | Risk | Evidence to check |
|---|---|---|
| Current effects cover position, performance and cash flows. | The published response does not support this human-reviewed assurance check. | Trace the statement to current approved records and the official IFRS source. |
| Significant material-adjustment risks are identified. | The published response does not support this human-reviewed assurance check. | Trace the statement to current approved records and the official IFRS source. |
| Anticipated financial-position changes are described across horizons. | The published response does not support this human-reviewed assurance check. | Trace the statement to current approved records and the official IFRS source. |
| Anticipated performance/cash-flow changes are described. | The published response does not support this human-reviewed assurance check. | Trace the statement to current approved records and the official IFRS source. |
| Investment/disposal plans and funding sources are considered. | The published response does not support this human-reviewed assurance check. | Trace the statement to current approved records and the official IFRS source. |
| Paragraphs 37–40 and reliefs are correctly applied. | The published response does not support this human-reviewed assurance check. | Trace the statement to current approved records and the official IFRS source. |
Evidence pack to prepare
Common reporting gaps
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Framework references
Relevant IFRS / ISSB requirements and related disclosures
Available framework references and nearby disclosures relevant to preparing this requirement.
IFRS / ISSB
s1-34-37
within IFRS S1: General Requirements for Disclosure of Sustainability-related Financial Information
Related & explore
More in IFRS S1 → Browse full catalogue → Disclosure Library home → Search all disclosures →
Go deeper · s1-34-37
Learn to prepare this disclosure end-to-end
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