The Norwegian Financial Supervisory Authority has reviewed aspects of AutoStore Holdings Ltd’s financial reporting and concluded that the company’s “Order intake” and “Order backlog” metrics are alternative performance measures (APMs) under the European Securities and Markets Authority Guidelines on Alternative Performance Measures. While it did not find grounds to require AutoStore to reclassify the measures as APMs, it criticised the company’s continued approach and noted AutoStore’s plan to enhance related disclosures in future reporting. The review also identified missing disclosures on remaining performance obligations under IFRS 15, which AutoStore will correct going forward. The authority considers the metrics to be measures of future financial performance and cash flows and therefore subject to the APM Guidelines’ disclosure expectations, including clearer definitions and explanations of use and consistency with accounting policies. It found current disclosures insufficient on uncertainty and conversion factors, including that “Order backlog” includes items sitting with distribution partners and the implications this has for reliability and conversion into revenue. Separately, it noted that AutoStore applied the IFRS 15.121(a) practical expedient on remaining performance obligations because material contracts had durations of less than twelve months as of 31 December 2023, but did not disclose the use of that expedient as required by IFRS 15.122. AutoStore is asked to provide written follow-up within two weeks after publishing its first-quarter 2025 financial report, specifying where the additional disclosures on “Order intake” and “Order backlog” have been implemented, and within two weeks after publishing its 2024 annual financial statements, explaining where and how the IFRS 15 remaining performance obligations disclosures have been rectified compared with the 2023 annual financial statements.
Norwegian Finanstilsynet 2025-04-24
Norwegian Financial Supervisory Authority closes AutoStore reporting review and flags order intake and backlog metrics as alternative performance measures
The Norwegian Financial Supervisory Authority reviewed AutoStore Holdings Ltd’s financial reporting, identifying "Order intake" and "Order backlog" as alternative performance measures under European Securities and Markets Authority Guidelines. The authority criticized the company's disclosure practices and noted plans for enhanced future reporting, including correcting missing disclosures on remaining performance obligations under IFRS 15. AutoStore must provide follow-up on these disclosures in upcoming financial reports.