Hansen Technologies (Hansen), an ASX 300 listed entity, is a leading global provider of customer care, billing software and data management systems. Hansen is known for their proven solutions in meeting the needs of a customer’s evolving business. And with a customer footprint in over 80 countries around the globe, there is significant complexity in their operations.
With over 500 large customers themselves billing millions of consumers the contracts entered into by Hansen can be long and complicated. The introduction of the new revenue accounting standard, AASB15 Contracts with Customers, effective for reporting periods from 1 January 2018, had a major impact on technology companies. Hansen was looking to understand the accounting implications A would have on each of their various revenue streams.
The RSM team worked with Hansen management to work through the issues likely to be encountered from AASB 15 and how to approach the various complexities that arose from applying AASB 15. Amongst other steps undertaken, the team held discussions with management and project managers, reviewed a number of different types customer contracts, prepared detailed position papers, and prepared an issues matrix.
Graeme Taylor, Chief Financial Officer, said...
“The first thing that was apparent from working with RSM was the importance they placed on understanding our business. The RSM team were quick to grasp that we were not a just another software provider but a solutions provider and as a result, it brought certain complexities to the contracts they reviewed. RSM provided valuable, in-depth assistance with working through the challenges of the new revenue standard. RSM also invested the time to explain the thought process for their analysis and recommendations. This open and honest communication provided for a strong partnership that allowed us to feel confident we were moving in the right direction.”
With the new revenue standard just around the corner for implementation in the 30 June 2019 financial statements, with RSM’s ongoing assistance, Graeme Taylor notes,
“We are in a good position over the next year and beyond as we move to the new standard. RSM’s personal approach, ongoing support and critical analysis has been instrumental in setting us up for a smooth transition”.