Huawei 2013 Annual Report Download - page 78

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77
Notes to the Consolidated Financial Statements Summary
As a result of the adoption of IFRS 11, the Group has changed its accounting policy with respect to its
interests in joint arrangements and re-evaluated its involvement in its joint arrangements. The Group has
reclassified the investments from jointly controlled entity to joint venture. The investments continue to
be accounted for using the equity method and therefore this reclassification does not have any material
impact on the financial position and the financial performance of the Group.
IFRS 12, Disclosure of interests in other entities
IFRS 12 brings together into a single standard all the disclosure requirements relevant to an entity’s
interests in subsidiaries, joint arrangements, associates and unconsolidated structured entities. The
disclosures required by IFRS 12 are generally more extensive than those previously required by the
respective standards. To the extent that the requirements are applicable to the Group, the Group has
provided those disclosures in note 13 and 14.
IFRS 13, Fair value measurement
IFRS 13 replaces existing guidance in individual IFRSs with a single source of fair value measurement
guidance. IFRS 13 also contains extensive disclosure requirements about fair value measurements for both
financial instruments and non-financial instruments. To the extent that the requirements are applicable
to the Group, the Group has provided those disclosures in note 9. The adoption of IFRS 13 does not have
any material impact on the fair value measurements of the Group’s assets and liabilities.
Revised IAS 19, Employee benefits
Revised IAS 19 introduces a number of amendments to the accounting for defined benefit plans. Among
them, revised IAS 19 requires all actuarial gains and losses to be recognised immediately in other
comprehensive income.
As a result of the adoption of revised IAS 19, the Group has changed its accounting policy with respect
to defined benefit plans, for which actuarial gains and losses were previously recognised in profit or
loss. This change in accounting policy has been applied retrospectively with consequential adjustments
to comparatives for the year ended December 31, 2012 as follows:
As previously
reported
Effect of
adoption of
revised IAS 19 As restated
CNY million CNY million CNY million
Consolidated statement of profit or loss
for the year ended December 31, 2012:
Defined benefit plan expense 2,240 (291) 1,949
Income tax 2,711 47 2,758
Profit for the year 15,380 244 15,624