Annual report and accounts 2023 - Flipbook - Page 132
A.G. BARR p.l.c. Annual Report and Accounts 2023
Independent Auditor’s Report to the members of A.G. BARR p.l.c. continued
4.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors’ use of the going concern basis of accounting in the preparation of the financial statements
is appropriate.
Our evaluation of the directors’ assessment of the group’s and parent company’s ability to continue to adopt the going concern basis of accounting included:
• Challenging underlying data and considering the impact of economic uncertainty on the assumptions;
• Assessing the integrity of the model used to prepare the forecasts, testing the clerical accuracy of those forecasts, and considering the historical accuracy of the forecasts
prepared by management;
• Assessing headroom in the forecasts (liquidity and covenants);
• Evaluating the financing facilities that are in place during the forecast period including the repayment terms and covenants, and assessing whether these have been
appropriately reflected in the model;
• Assessing the reasonableness of the downside scenarios and sensitivities performed by management; and
• Assessing the appropriateness of the going concern disclosures in the financial statements.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant
doubt on the group's and parent company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised
for issue.
In relation to the reporting on how the group has applied the UK Corporate Governance Code, we have nothing material to add or draw attention to in relation to the
directors’ statement in the financial statements about whether the directors considered it appropriate to adopt the going concern basis of accounting.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
5.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial statements of the current period and include
the most significant assessed risks of material misstatement (whether or not due to fraud) that we identified. These matters included those which had the greatest effect on:
the overall audit strategy, the allocation of resources in the audit; and directing the efforts of the engagement team.
These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate
opinion on these matters.
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