Bell Group Holdings has restated its 2023 comparative figures after Australia’s corporate regulator found it should have consolidated its interest in ASX-listed Bell Financial Group, boosting reported net assets and profit.
The Australian Securities and Investments Commission (ASIC) reviewed Bell Group’s reporting as part of its proactive surveillance programme and raised concerns that the company’s 31 December 2023 financial report did not consolidate Bell Financial Group Limited, in which Bell Group held a 45.6% stake. ASIC considered the remaining shareholdings to be widely dispersed, meaning Bell Group had control and should have consolidated the listed entity under AASB 10 Consolidated Financial Statements.
Bell Group has now lodged its financial report for the year ended 31 December 2024, incorporating a restatement that consolidates Bell Financial into the FY23 comparatives. The adjustment increased net assets by $129.8 million, lifted profit after tax by $13.5 million and reduced net cash outflows by $72.4 million.
ASIC said the original omission meant users of the financial report did not have all relevant information about Bell Group’s true financial position and performance. The regulator expects preparers to give appropriate consideration to assessing control of related entities and to comply with consolidation requirements in the Australian Accounting Standards.
Bell Group is classified as a large proprietary company and is required to prepare and lodge an audited financial report with ASIC.
The restatement follows ASIC’s ongoing financial reporting and audit surveillance activities, which aim to improve the quality of financial reporting and ensure compliance with the law, supporting investor confidence and the integrity of Australia’s capital markets. ASIC conducts regular, risk-based reviews of financial reports of selected companies and other public interest entities to monitor compliance with the Corporations Act 2001 and Australian Accounting Standards. The regulator has also flagged its financial reporting and audit focus areas for FY2025–26.
