2 Basis of preparation
The Group’s consolidated financial statements are prepared in accordance with International Financial Reporting Standards (IFRS), as issued by the IASB, and are compliant with Swiss law. The consolidated financial statements are prepared using the accrual basis of accounting and the historical cost approach with the exception of financial instruments measured at fair value.
The consolidated financial statements are based on the annual financial statements of the individual Group companies controlled directly or indirectly by Schindler Holding Ltd. The reporting periods of all Group companies end on December 31. An overview of material Group companies is provided in note 26.
2.1 Changes in IFRS
Amendments in IFRS, applied for the first time as of January 1, 2021, did not have a material impact on the Group’s consolidated financial statements.
There are no plans for the early adoption of published standards, interpretations, or amendments prior to their mandatory effective date. The Group does not expect that other changes in IFRS will have a material impact on the Group’s consolidated financial statements.
2.2 Significant assumptions and estimates
The Group’s consolidated financial statements contain certain assumptions and estimates that influence the figures presented in this report. They are based on analyses and judgments that are continuously reviewed and adjusted if necessary. The actual results may differ from these assumptions and estimates.
The main assumptions and estimates that have a significant risk of resulting in a material adjustment to the consolidated financial statements in future years are described in the following notes:
|Position||Assumptions and estimates||Note|
|Post-employment benefits||Assumptions in actuarial reports||6|
|Provisions||Assumptions in actuarial reports||20|
|Income taxes||Estimation of future tax assessments||21|