2.1 Statement of compliance
The consolidated financial statements have been prepared in accordance with IFRS Accounting Standards as endorsed by the European Union (EU-IFRS) and with Section 2:362(9) of the Dutch Civil Code. The consolidated financial statements have also been prepared on a historical cost basis, unless otherwise stated in the respective note or Note 3 Material accounting policies.
2.2 Functional currency
These consolidated financial statements are presented in euro, which is the Company’s functional currency. All tables and amounts are in thousands of euros unless otherwise stated. In addition, all amounts have been rounded to the nearest thousand, unless otherwise indicated.
2.3 Use of estimates and judgements
The preparation of financial statements in conformity with EU-IFRS requires the management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported values of assets and liabilities, income and expenses. The estimates and underlying assumptions are based on past experience and various other factors considered reasonable in the circumstances.
The estimates and underlying assumptions are assessed periodically. Any revised estimates are accounted for in the period in which they are revised, if such revision only affects that period, or the period in which the revision is made and future periods, if the revision has implications for both the period under consideration and future periods.
Judgements
Information about judgements as at September 30, 2025 made in applying accounting policies that have the most significant effect on the carrying amounts of assets and liabilities in the next financial year is included in the following note:
Note 22 Provision for claims/legal proceedings: key judgement relates to the possibility of receiving a claim.
Assumptions and estimation uncertainties
Information about assumptions and estimation uncertainties as at September 30, 2025 that has a significant risk of resulting in a material adjustment to the carrying amounts of assets and liabilities in the next financial year is included in the following notes:
Note 6 and 18 Measurement of unbilled services and trade receivables: in the measurement of the ECL allowance for trade receivables and contract assets, key assumptions relate to the determination of the weighted-average loss rate. Judgement is required in the valuation of contract assets and liabilities in order to measure the progress of a project against the total estimated costs of a project at reporting date;
Note 22 Provision for claims/legal proceedings: in the recognition and measurement of provisions and contingencies, key assumptions relate to the likelihood and magnitude of an outflow of resources.
Measurement of fair values
A number of the Group’s accounting policies and disclosures require the measurement of fair values, for both financial and non-financial assets and liabilities.
Management regularly reviews the Group’s significant unobservable inputs and valuation adjustments. If third-party information, such as broker quotes or pricing services, is used to measure fair values, then management assesses the evidence obtained from the third parties to support the conclusion that such valuations meet the requirements of IFRS, including the level in the fair value hierarchy in which such valuations should be classified.
When measuring the fair value of an asset or a liability, management uses market observable data as far as possible. Fair values are categorized into different levels in a fair value hierarchy based on the inputs used in the valuation techniques as follows:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).
Level 3: Inputs for the asset or liability that are not based on observable market data (unobservable inputs).
If the inputs used to measure the fair value of an asset or a liability might be categorized in different levels of the fair value hierarchy, then the fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement.
Management recognizes transfers between levels of the fair value hierarchy at the end of the reporting period during which the change has occurred.
Further information about the assumptions made in measuring fair values is included in Note 24 Financial instruments and associated risks.
2.4 Going concern
The financial statements have been prepared on a going concern basis.
2.5 Application of Section 402, Book 2 of the Dutch Civil Code
The financial information of the Company is included in the consolidated financial statements. For this reason, in accordance with Section 402, Book 2 of the Dutch Civil Code, the separate profit and loss account of the Company exclusively states the share of the result of participating interests after tax and the other income and expenses after tax.
For an appropriate interpretation of these statutory financial statements, the consolidated financial statements of the Company should be read in conjunction with the separate financial statements, as included.
2.6 Changes in IFRS and other accounting policies/Accounting policies adopted for the preparation of the consolidated financial statements
The Group has adopted the following new standards, interpretations and/or amendments to a standard with a date of initial application of October 1, 2024 unless otherwise stated:
Amendments to IAS 7 Statement of Cash Flow and IFRS 7 Financial Instruments: Disclosures: Supplier Finance Arrangements. The amendments require an entity to provide additional disclosures about its supplier finance arrangements, to provide users of financial statements with information to enable them to assess how supplier finance arrangements affect an entity’s liabilities and cash flows, and to understand the effect of supplier finance arrangements on an entity’s exposure to liquidity risk and how the entity might be affected if the arrangements were no longer available to it. KPMG does not make use of supplier finance arrangements.
Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current; and Non-current Liabilities with Covenants. The amendments clarify how the classification of liabilities as current or non-current should be determined. In addition, they clarify how conditions with which an entity must comply within twelve months after the reporting period affect the classification of a liability: only covenants with which an entity is required to comply on or before the reporting date affect the classification of a liability as current or non-current. An entity has to disclose information in the notes that enables users of financial statements to understand the risk that non-current liabilities with covenants could become repayable within twelve months. KPMG does not have any conditions with which it must comply within twelve months after the reporting period.
Amendments to IFRS 16 Leases: Lease Liability in a Sale and Leaseback. The amendments clarify how a seller-lessee subsequently measures sale and leaseback transactions that satisfy the requirements in IFRS 15 to be accounted for as a sale. They require a seller-lessee to subsequently measure lease liabilities arising from a leaseback in a way that it does not recognize any amount of the gain or loss that relates to the right of use it retains. The new requirements do not prevent a seller-lessee from recognizing in profit or loss any gain or loss relating to the partial or full termination of a lease. KPMG is not involved in sale and leaseback transactions.
The implementation of the above-mentioned amendments did not impact the financial statements.