New reporting regime hits profits at Tullow Oil

David Clerkin

The company, which reported pre-tax profits of nearly £33 million (E48m) for the year to December, said that the new International Financial Reporting Standards (IFRS) would have no effect on reported revenues, but that the bottom line would appear lower than under the older GAAP system. It restated its 2004 results yesterday to take account of the new standards and also to update investors on what they could expect when it formally reports under the IFRS format this year.

Publicly-quoted companies are obliged to use IFRS for reporting periods beginning on or after 1 January 2005.