A director’s report is part of a publicly-held company’s annual report in the United Kingdom. The report includes the following information:
- A summarization of the company’s trading activities and a discussion of its future prospects
- The primary activities of the enterprise, as well as any significant changes in those activities during the past fiscal year
- The names of all the people serving as company directors during the fiscal year of the entity
- The amount of the dividend that the directors are recommending be paid to shareholders
- The existence and amount of any events occurring after the balance sheet date that may impact the company’s finances to a material extent
- Any significant changes in the valuation of the firm’s fixed assets
The company’s outside auditor must issue a report on a company’s directors’ report, noting whether there are any inconsistencies between the information in the report and the firm’s accounts.
The directors’ report is called the Form 10-K in the United States.