PwC's accounting podcast

In June 2024, PwC released its 2024 Global Corporate Sustainability Reporting Directive (CSRD) survey, which covers a variety of topics on the current state of companies’ CSRD implementation. In this week’s podcast, host Heather Horn welcomes back Nadja Picard, PwC’s Global Reporting Leader, to dive into the results of the survey conducted in April 2024, including company readiness, data availability, and the use of technology in reporting.

In this episode, we discuss:

• 01:55 - Purpose of the 2024 global CSRD survey and demographics of survey participants
• 04:57 - Summary of key topics included in the survey
•  06:35 - Summary of key insights gained from the survey
• 11:18 - How companies are approaching double materiality
• 16:59 - The two main challenges companies say they are experiencing
• 19:43 - How companies are using tools and technology
• 24:25 - The most surprising result of the survey – companies’ positive perspectives on the benefits of sustainability reporting 
• 28:16 - Takeaways for conversations with key stakeholders
• 35:14 - The key role of senior management
• 36:50 - The importance of setting up data processes and systems to comply with various reporting requirements
• 39:54 - What we will learn from first-time CSRD reporters

Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.

Nadja Picard is PwC’s Global Reporting Leader. In this role, she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected]. 

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This episode covers the latest developments in the world of crypto assets from the current landscape to the regulatory environment to the accounting. In this episode, we discuss: 

• 4:13 – An overview of the market
• 8:42 – US legislative activity related to SEC Staff Accounting Bulletin 121
• 14:30 – Use cases for crypto assets and related technology
• 19:15 – Accounting for crypto assets and recent guidance from the FASB
• 31:15 – Key disclosure requirements
• 36:07 – SEC guidance related to lending arrangements and custodians of crypto assets 

For more information on this topic, read our Crypto assets guide. Additionally, follow this podcast on your favorite podcast app for more episodes.

Kevin Jackson is a partner in PwC’s Capital Markets Accounting Advisory Services practice who assists clients with complex accounting and financial reporting issues. Kevin is also a member of the AICPA's Digital Assets Working Group, which provides interpretive guidance on how to account for digital assets.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected]. 

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PwC provides a summary of the latest accounting, financial reporting, and regulatory updates to support your quarterly reporting.

We begin this edition of The quarter close with a mid-year check-in on SEC comment letter trends. Spoiler alert: non-GAAP financial measures continue to draw the most comments from the SEC staff. We also highlight key considerations for service or supply arrangements that may have embedded leases.

In sustainability reporting news, the SEC stayed its climate disclosure rules in light of pending litigation. However, beyond the SEC’s rules, companies may be subject to a range of sustainability reporting obligations. We keep you informed on the latest developments.

This quarter we spotlight recent international standard-setting activities, including a new IFRS standard that redefines financial performance reporting. Although US GAAP reporters are not subject to IFRS standards, you’ll want to stay updated on the changes, which could influence the views of stakeholders in the US. In addition, we summarize the FASB’s latest decisions on its project on software costs.

In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the second quarter of 2024.

Transcripts available upon request for individuals who may need a disability-related accommodation Please send requests to [email protected].

In this podcast, host Heather Horn sits down with Emily Kirsch, a director in PwC's sustainability practice, to discuss how companies are approaching the Corporate Sustainability Reporting Directive (CSRD) implementation process. The clock is ticking as companies navigate the various phases of the process, including scoping, the double materiality assessment, the gap assessment, and remediation.

In this episode, we discuss:

• 2:08  – CSRD implementation process overview and where companies are in the journey
• 2:41 – The importance of scoping and weighing the options for various reporting approaches
• 3:50 – How the double materiality assessment drives reporting requirements
• 5:08 – Key cross-functional workstreams needed and required upskilling
• 7:32 – Applying an integrated approach across multiple ESG frameworks
• 9:16 – Pitfalls and best practices of the double materiality assessment
• 14:50 – Identifying gaps and addressing them as part of the remediation process
• 18:12 – Assessing the timeline for mandatory and voluntary reporting
• 22:13 – Difficulty in collecting data, including the availability of data at a disaggregated level
• 23:56 – A narrow lead time requiring consistent communication company wide
• 26:17 – Common challenges companies are experiencing during CSRD implementation
• 35:25 – Keys to successes throughout the CSRD implementation process

Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.

Emily Kirsch is a director in PwC's sustainability practice focused on sustainability reporting and standard setting in the EU. She advises both public and private companies in navigating complex emerging sustainability reporting requirements and implementing new reporting regulations during periods of change in an organization.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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We continue our miniseries on consolidation accounting and dive into the evaluation of variable interests and the characteristics of a variable interest entity (VIE).

In this episode, we discuss: 

• 1:24 – An overview of the VIE model 
• 3:30 – Determining whether there is a variable interest 
• 11:25 – Identifying “at-risk” equity 
• 15:28 – Evaluating whether an entity is a VIE by assessing the following characteristics exist: 
  • 16:00 – Insufficient equity investment at risk  
  • 24:27 – Equity lacks decision making rights 
  • 34:40 – Equity with nonsubstantive voting rights 
  • 37:38 – Lack of obligation to absorb losses or right to receive residual returns 
• 41:45 – A recap of the episode and final thoughts 

For more information on this topic, read chapters 3 and 4 of our Consolidation guide. Also, for an overview of the consolidation framework, listen to the first episode in this miniseries, The consolidation framework – Getting started. Additionally, follow this podcast on your favorite podcast app for episodes on other topics.

Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.

Alexander Martin is a partner in PwC's Deals practice with over a decade of deals experience, helping clients solve complex accounting, financial reporting, and other business issues that arise from transaction-driven events such as mergers and acquisitions, divestitures, and capital raises.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected]. 

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In this episode, Heather sits down with Marie Hache, PwC Sustainability partner, to discuss the practical challenges companies will face in implementing new mandatory sustainability reporting requirements. They cover leading practices including data quality considerations and getting ready for assurance.

In this episode, we discuss:

• 1:55 - Marie's background in sustainability and her work with companies on implementing new rules and standards
• 2:29 - How companies are preparing for upcoming sustainability reporting requirements, including double materiality considerations
• 13:23 - Data quality considerations, including performing pre-audits, implementing new systems, and strengthening existing processes
• 18:21 - How companies are working toward adoption taking a joint holistic approach
• 21:28 - Challenges in the transition to enhanced assurance requirements
• 28:43 - How to be prepared for the first years of mandatory reporting
• 33:45 - How companies can achieve consistency across different reporting requirements

Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.

Marie Hache is a partner in the Sustainability Services team at PwC with experience working with companies across multiple sectors including services, pharma, retail, technology, hospitality, utilities, and manufacturing. She helps clients reliably and transparently communicate on ESG topics to meet stakeholder expectations.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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We kick off our miniseries on consolidation accounting with an overview of the consolidation models and lay the foundation to go deeper into the variable interest entity model in the next two episodes.

In this episode, we discuss:

• 02:59 - Background on the two consolidation models
• 12:54 - The overall consolidation framework
• 14:20 - The variable interest entity model
• 20:25 - The voting interest entity model
• 23:13 - Consolidation scope exceptions
• 28:13 - VIE model scope exceptions

For more information on this topic, read chapter 1 of our Consolidation guide. Additionally, follow this podcast on your favorite podcast app for more episodes.

Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.

Alexander Martin is a partner in PwC's Deals practice with over a decade of deals experience, helping clients solve complex accounting, financial reporting, and other business issues that arise from transaction-driven events such as mergers and acquisitions, divestitures, and capital raises.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected]. 

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In this podcast, host Heather Horn sits down with Katie Woods, a senior director in PwC's Global Corporate Reporting Services group, to discuss the recent activities of the International Sustainability Standards Board (ISSB). They discuss the standards issued by the ISSB to date, recent decisions reached by the board regarding future standard setting activities, updates on jurisdictional activity, and more.

In this episode, we discuss:

• 2:16 - Refresher on the issued IFRS® Sustainability Disclosure Standards (SDS), as well as the Board’s consultation on agenda priorities
• 8:43 - Sustainability reporting in the broader context of global issues, including biodiversity and human capital
• 13:06 - The new interoperability guidance from the ISSB and EFRAG related to climate disclosures
• 19:28 - Updates on jurisdictions looking to adopt IFRS SDS
• 23:47 - The ISSB’s publication of the IFRS SDS digital taxonomy
• 25:14 - The significance of the TCFD framework coming under the umbrella of the IFRS Foundation
• 26:53 - Highlights and areas of focus related to the ISSB’s future activities

Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.

Katie Woods is a senior director in PwC's Global Corporate Reporting Services - sustainability group advising on ESG and international accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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We wrap up our miniseries on accounting for financing transactions with a focus on the accounting for equity-linked instruments.

In this episode, we discuss:

• 2:03 - Why companies issue equity-linked instruments
• 7:23 - Determining whether an instrument is freestanding or embedded
• 13:13 - Determining whether an instrument is indexed to the entity’s own stock
  • 17:23 - Exercise contingencies
  • 19:50 - Settlement adjustments
  • 32:36 - Convertible debt instruments
• 39:51 - Equity or liability classification

For more information on these topics, read chapter 5 of our Financing transactions guide. Also, check out other episodes in our miniseries: Share repurchases – The type of arrangement matters, Accounting for preferred stock from issuance to retirement, and Understanding "mezzanine” equity. Additionally, follow this podcast on your favorite podcast app for more episodes.

John Horan is a managing director in PwC’s National Office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.

Bret Dooley is a Deputy Chief Accountant in PwC’s National Office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected]. 

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With the finalization of the SEC’s climate disclosure rules and subsequent stay, along with other developments in the sustainability reporting landscape, the pace of change can seem dizzying. In this podcast, host Heather Horn sits down with Kyle Moffat, PwC National Office partner, and Casey Herman, PwC Sustainability partner, to take stock of the landscape and consider what companies can and should be doing now to navigate the uncertainty and prepare for future compliance.

In this episode, we discuss:

• 2:24 - Status of the SEC’s climate disclosure rules and actions taken by the Commission since the rules were finalized in March
• 5:57 - The uncertainties and potential outcomes related to the rules
• 11:06 – Other climate disclosure frameworks and compliance requirements that will move forward regardless of the SEC rules
• 13:25 - The increased awareness of climate risks at the board level and the importance of accuracy in climate reporting
• 16:05 - The continued commitment of companies to their sustainability goals despite regulatory uncertainties
• 18:10 - Why companies continue to set sustainability goals and evaluate climate risks
• 25:15 - What companies should focus on next in today’s complex regulatory environment

Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards. Also, listen to our deep dive on the SEC climate rules here.

Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.

Casey Herman is a PwC Sustainability partner, leading a firmwide, cross functional team that assists companies with important ESG and sustainability matters. His team’s work spans from accurately reporting ESG data and progress to designing and implementing sustainable business strategies. Casey has more than 35 years of experience providing trust and consulting services to energy and utility companies.

Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected]. 

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.