The Thai Securities and Exchange Commission yesterday praised 15 companies for providing management discussion and analysis (MD&A) to investors as a positive step toward good corporate governance. Siam General Factoring Co., Ltd. was included in the 15.
MD&A, provided together with balance sheets and financial reports, played an important role in explaining accounting results to investors, officials said.
Chalee Chantanayingyong, the SEC deputy secretary-general, said that while the additional reporting was not compulsory, listed firms were encouraged to offer added disclosure and explanations to investors at least once a year.
"Financial reports usually are written using traditional accounting terms, which can be difficult to understand for laymen. MD&A is useful in presenting information in an easier way for investors," he said.