Group Financial Statements & Company Financial Stattements

Q:
What is the difference between group financial statements and company financial statements?

A:
Financial Statements in a company can be found as Income Statement, Balance Sheets and Statement of changes in Equity, Cash Flows Statements.

Group Financial statements would just be the same. The difference between group and single company is Group company should prepare Consolidation Financial statements. These are common reports: Consolidated Income statement, Consolidated Balance Sheets and Consolidated Cash Flows Statements of which are according to HK Reporting Standards.

Some single companies or SMEs, just no need to prepare the above except the common reports, such as Income statement, Balance sheet. There is no statutory requirements for such companies except the public company limited. Cash flows would be used for bankers to get credit line, trust between trades etc. While Group's requirements is totally different.