Creation of a cross-company consolidation model to improve planning effectiveness
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First-time consolidation of more than ten companies within a buy-and-build holding company
Use cases
Intercompany consolidation
Development of financial reporting and controlling structures
Preparation of data for initial consolidation in LucaNet
"The support of torq.partners was of great importance to our Finance Operations. Their expertise has enabled us to overcome complex consolidation challenges, resulting in accurate, reliable financial reporting for all our entities.
Amelie Ebner
Teamlead Controlling
Challenges
The hyper-growth driven by the investor's buy-and-build strategy led to inaccurate financial reporting.
More than 10,000 annual intercompany postings and merger-related postings (e.g. costs in connection with the acquisition strategy) distorted the financial results and made financial planning more difficult, particularly in terms of liquidity management.
There was a lack of internal resources and limited internal expertise to tackle these challenges effectively.
Solution
Establishment of a fully integrated consolidation model for all entities, including income statements, balance sheets and cash flow statements for the last three years
More than 20,000 adjustments to income statements and balance sheets on a line-by-line basis to ensure accuracy and transparency
Preparation of short-term liquidity planning on the basis of consolidated figures to enable effective cash flow management
Impact
The revised overview improved planning effectiveness by providing clearer insights and facilitating decision-making.
The provision of the Group's internal adjusted financial statements has accelerated the introduction of LucaNet.
The provision of adjusted consolidated financial statements has simplified the Group's financial reporting process and the timely provision of comparative data for the auditor has improved efficiency.
