Notes for P&L
All amounts in SEKm unless otherwise stated
Note 2 Summary of important accounting policies
This section describes the comprehensive basis of preparation which has been applied in preparing the financial statements. Accounting principles for specific accounting areas and individual line items are described in the related notes.
The financial statements for the Group were prepared in compliance with International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and with interpretations issued by the International Financial Reporting Interpretations Committee (IFRIC) as approved by the European Union (EU). Recommendation RFR 1 Supplementary Accounting Rules for Groups, issued by the Swedish Financial Reporting Board, was also applied. The Parent Company prepared its annual accounts in accordance with the Swedish Annual Accounts Act, recommendation RFR 2 (Accounting for Legal Entities) and from the Swedish Financial Reporting Board. The Parent Company applies the same accounting principles as the Group, except in the cases specified in the section entitled ‘Differences between the accounting policies of the Group and the Parent Company’.
Presentation of the annual report
The financial statements are in millions of Swedish kronor (SEK million) unless otherwise stated. AddLife AB’s functional currency is Swedish kronor, as is the reporting currency for the Group. Assets and liabilities are recognised at historical cost, except for currency derivatives that are measured at fair value.
Assets are divided into current assets and non-current assets. An asset is considered current if it is expected to be realised within 12 months of the end of the reporting period or within the Company's operating cycle. 'Operating cycle' refers to the time elapsed from the start of production until the Company receives payment for goods or services delivered. The Group's operating cycle is judged to be less than one year. If an asset does not fulfill the current asset criterion, it is classified as a non-current asset.
Liabilities are divided into current liabilities and non-current liabilities. Current liabilities are liabilities to be paid within 12 months of the end of the reporting period or, in the case of operating liabilities only, that are expected to be paid within the operating cycle. As this takes into account the operating cycle, no non-interest-bearing liabilities, such as accounts payable or accrued staff costs, are recognised as non-current liabilities.
Receivables and liabilities, as well as income and expenses, are offset only if required or if expressly permitted under IFRS.
Differences between the accounting policies of the Group and the Parent Company
The Parent Company's and the Group's accounting policies are consistent with each other, except for the follwoing areas. The Parent Company has chosen to apply the option in RFR 2 not to apply IFRS 16 and IFRS 9. In accordance with RFR 2 possible defined benefit plans in the Parent company are reported as defined contribution plans.
New or amended accounting standards applied in 2022
The new, amended or improved standards did not have any material impact on AddLife's financial statements.
New or amended accounting standards to be applied after 2022
New, amended or improved standards to be applied in the future are not expected to have any material impact on AddLife's financial statements.To the top