Recent Accounting Pronouncements

Standard

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Description

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Required Date
of Adoption

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Effect on financial statements

Standards Adopted in 2025

ASU 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures

The amendments in this update require that public business entities on an annual basis (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income [or loss] by the applicable statutory income tax rate).


Annual periods beginning after December 15, 2024 and interim periods beginning after December 15, 2025

Additional jurisdictional disclosures have been incorporated prospectively in note 10 Income Taxes in the financial statements.

ASU 2025-08 Financial Instruments (Topic 326): Credit Losses

The amendments in this Update expand the population of acquired financial assets subject to the gross-up approach in Topic 326. In accordance with the amendments in this Update, loans (excluding credit cards) acquired without credit deterioration and deemed “seasoned” (defined below) are purchased seasoned loans and accounted for using the gross-up approach at acquisition.
Specifically, after an entity determines that a loan is a non-PCD asset based on its assessment of credit deterioration experienced since origination, the entity should apply the guidance described in the amendments to determine whether the loan is seasoned and, therefore, should be accounted for using the gross-up approach. All non-PCD loans (excluding credit cards) that are acquired in a business combination are deemed seasoned. Other non-PCD loans (excluding credit cards) are seasoned if they were purchased at least 90 days after origination and the acquirer was not involved in the origination of the loans.


Annual periods beginning after December 15, 2026 and interim periods within those reporting periods

This standard has been adopted prospectively.

Historical Timeline

Fiscal YearFiled
2025Mar 13, 2026Showing above
2024Mar 11, 2025
2023Mar 11, 2024
2022Mar 14, 2023
2021Mar 14, 2022
2020Mar 10, 2021
2019Mar 10, 2020
2018Mar 12, 2019
2017Mar 13, 2018
2016Mar 14, 2017
2015Mar 14, 2016

About New Standards Disclosures

New accounting standards disclosures describe recently adopted pronouncements and those not yet effective, along with management's assessment of their expected impact. This section provides an early warning system for upcoming changes to how a company reports its financial results, often years before the new rules take effect.

Key signals: when management describes a not-yet-adopted standard's impact as "material" or "still being evaluated," it signals potential significant changes to reported metrics upon adoption. Watch for standards that affect a company's core operations — for example, revenue recognition changes for software companies or lease accounting changes for retailers with large store footprints. The transition method chosen (full retrospective versus modified retrospective) affects comparability with prior periods. Companies that delay adoption to the latest permitted date may be struggling with implementation complexity. Compare the disclosed impact assessments against peers in the same industry to gauge whether management's expectations are reasonable.