The IFRS Foundation has today published its annual report and audited financial statements for the year ended 31 December 2025, setting out its financial results, the progress made in delivering its public‑interest mission and the steps taken to ensure the organisation is fit for the future.
The report highlights continued progress in 2025 through the work of the International Accounting Standards Board (IASB) and the International Sustainability Standards Board (ISSB). It also outlines the Foundation’s priorities for 2026.
Financial results
The Foundation reported total comprehensive income of £1.3 million for the year, increasing reserves to £49.2 million. The results reflect the impact of the cost-reduction programme, continued cost management and fiscal discipline, as well as several one-off factors. These factors include the timing of some jurisdictional contributions and lower-than-expected spending on technology projects and recruitment, which have been deferred to 2026.
This year’s report includes a breakdown of expenses by board to provide increased transparency to stakeholders on how resources are allocated within the Foundation.
Advancing the public-interest mission
In 2025 the Foundation continued to support the development, maintenance and adoption of high-quality global standards. The IASB advanced key accounting projects, notably issuing revised versions of the IFRS for SMEs Accounting Standard and Practice Statement 1 Management Commentary and new guidance on disclosing uncertainties in the financial statements and hyperinflationary translation. It also consulted on a new risk mitigation accounting model. The ISSB supported jurisdictions adopting and using IFRS Sustainability Disclosure Standards, clarified aspects of IFRS S2 Climate-related Disclosures, continued enhancing the SASB Standards and progressed its research projects on Human Capital and Nature-related Disclosures.
Both boards focus on meeting investors’ needs for financially material information. Their Standards complement each other but need not be applied together.
Fit for the future
The annual report outlines the transformation programme that was started in 2024 to improve the Foundation’s efficiency and secure appropriate long-term resourcing, ensuring alignment between stakeholder ambitions and the human and financial resources required to deliver them. Initiatives include organisational restructuring, a cost review to reduce staff and governance costs, strengthened income-generation efforts and initial work to refresh the Foundation’s medium- to long-term strategy.
The Trustees remain committed to ensuring the Foundation continues to deliver on its mission and will oversee the progress of the transformation programme in 2026 and beyond with a focus on efficiency, technical capacity, cost management and sustainable funding. They will also continue to engage with jurisdictions to ensure that all those using IFRS Standards contribute to the costs of their development.
Erkki Liikanen, Chair of the IFRS Foundation Trustees, said:
I am pleased to report another year of progress in our mission to deliver enhanced transparency, accountability and efficiency for capital markets globally through high-quality accounting and sustainability disclosure standards. As we reflect on 25 years of progress, it is clear that IFRS Standards have become a global public good. We are undertaking the necessary transformational change to ensure the Foundation is fit for the future. I thank all of those within and outside the organisation who have worked so diligently in support of our work.
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IFRS Foundation strategy and governance
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