IFRS Implementation for a Hospitality Group Planning an NSX Listing

A Namibian hospitality group operating four lodges in the Namib Desert and the Caprivi Strip, with ambitions to list on the Namibian Stock Exchange within three years.

The group had been preparing financial statements under IFRS for SMEs. In preparation for an NSX listing, the board resolved to migrate to full IFRS. The group had significant operating lease exposure (multiple lodge site leases) requiring IFRS 16 treatment, a complex depreciation schedule across lodge buildings and game vehicles, and a finance team with no prior IFRS implementation experience. The IFRS transition needed to be completed in the current financial year.

We managed the IFRS 16 transition, calculating right-of-use assets and corresponding lease liabilities for all material lodge leases and preparing the required opening balance sheet adjustments. We reviewed the group's property, plant and equipment register and aligned useful life estimates with IFRS requirements. We prepared the full set of IFRS-compliant financial statements for the transition year and trained the finance team on the IFRS treatment of the key items they would need to manage in future periods. We also prepared a technical memo for the board covering the impact of IFRS adoption on distributable reserves.

First IFRS financial statements prepared and ready for external review. Board received a clear picture of all transition adjustments. The group is now on a compliant IFRS reporting track ahead of its planned NSX listing. The finance team is capable of managing subsequent period reporting independently, with our support on complex judgements.