Operating activities expenses in the non-financial reporting of electric power companies

Abstract

This article provides an overview of key issues related to non-financial reporting on the operating activities expenses of electric power companies in Ukraine. Operating activities expenses are an important factor in ensuring financial stability and resilience of Ukrainian electricity companies. However, non-financial statements on these expenses can be challenging due to different types of expenses, calculation and presentation methods, and different perspectives of stakeholders. The article explores the role of stakeholders, particularly owners and investors, in ensuring the quality and transparency of non-financial reporting on operational expenses of Ukrainian electricity companies. The article emphasizes that financial reporting provides an instant snapshot of the financial performance and position of the company, including revenues, profits, assets, and liabilities, while non-financial reporting provides a more complete picture of the company's performance and impact, including on the environment, social and governance practices, operations, and management. The research in this article helps to understand the operational expenses reflected in the non-financial reporting of Ukrainian electricity companies and how these expenses impact environmental, social, and governance practices of the companies. With this information, energy companies and other stakeholders can improve their efficiency and transparency of reporting. The results of the research indicate that the presence of quality non-financial reporting in Ukrainian electricity companies is crucial for their stability and resilience, particularly in light of increasing interest in sustainable and environmentally friendly technologies. Furthermore, it can be concluded that more transparent and accurate non-financial reporting reduces the risks of financial instability and promotes attracting new investors. Therefore, this article can be useful for electricity companies and other stakeholders in understanding the importance of non-financial reporting on operational expenses and its impact on the sustainability and resilience of the companies.