MD&A (Management Discussion and Analysis) Reporting Essentials

Note: This Live Virtual course is presented in collaboration with CPA Western Provinces. The content is applicable to all participants. If you have questions regarding this course, please contact pdregistration@cpaalberta.ca

Overview:

Management's Discussion and Analysis (MD&A) serves as a vital narrative within financial reporting, offering invaluable insights that extend beyond the numerical data outlined in financial statements. It's a cornerstone for stakeholders seeking a deeper understanding of a company's performance, strategies, and potential risks. The MD&A facilitates a clear dialogue between management and investors, offering context, interpretation, and forward-looking perspectives in straightforward terms. In essence, MD&A bridges the gap between financial figures and the real-world dynamics shaping a company's operations and outlook.

This course aims to empower you with the skills and knowledge needed to prepare and review an effective MD&A. By exploring MD&A's objectives, principles, and elements, you will be better equipped to communicate the company's financial story to stakeholders and fulfill their reporting responsibilities effectively.

This course is being offered to:

• Provide practical guidance on preparing and reviewing impactful MD&A reports
• Focus on aligning financial data with narrative context
• Empower you to communicate a company's financial health effectively
• Cover core principles, a comprehensive disclosure framework, and the art of tailoring MD&A content
• Identify best practices
• Enhance your abilities to cater to primary users of financial reports

Course Content:

In this course, you will gain knowledge about the following topics:

• Principles-Based Disclosure: Understand how MD&A operates under a principles-based framework, allowing flexibility to describe financial matters impacting the company.
• Value Communication: Recognize the MD&A's potential as a powerful tool for management to communicate value creation, stewardship of resources, and alignment with strategic objectives.
• Inherent Limitations: Acknowledge the limitations of MD&A, as it captures information at a specific point in time and may not include all material information about the company.
• MD&A Objectives: develop a comprehensive framework consisting of key elements:
  • Core businesses
  • Objectives and strategy
  • Capability to deliver results
  • Results and outlook
  • Key performance measures and indicators
• Disclosure Principles: Learn how MD&A fits into continuous disclosure and how to update information across interim and annual reports while avoiding duplication. 

Learning Objectives:

Upon completing this course, you should be able to:

• Describe  MD&A as a tool to explain a company's financial condition, changes, and results of operations
• Describe the role of MD&A in offering context to financial information, enabling stakeholders to analyze financial statements more effectively
• Communicate information about the quality and potential variability of a company's earnings and cash flow, aiding stakeholders in assessing future performance
•  Emphasize the importance of tailored and specific MD&A disclosure that reflects the unique circumstances of each registrant
• Leverage existing tools and resources to assist in developing effective MD&A reporting

Who Will Benefit: 

These professionals are directly involved in the preparation, analysis, and review of financial statements and disclosures.