The Extent of Goodwill Disclosure: A Comparative Study in the Pre-and Post-COVID-19 Pandemic

This study examines the impact of the COVID-19 pandemic on goodwill disclosure practices in Malaysia's construction sector, using the MFRS 136 framework. We conduct a thorough examination of the yearly financial statements of 37 listed construction companies using a comprehensive approach, evaluating 26 goodwill disclosure items outlined by MFRS 136 in pre- COVID-19 (2019) and post-COVID-19 (2021) annual reports. The findings show a nuanced landscape, with some companies increasing disclosure after the pandemic, providing detailed information on impairment testing methodologies and pandemic-related impacts, while others maintained or reduced pre-pandemic disclosure levels. This study emphasizes the importance of following MFRS 136 guidelines while also advocating for a balance between compliance and adaptability, particularly when dealing with the complexities introduced by the pandemic. The study concludes by emphasizing the ongoing need for flexibility in financial reporting and recommending professional guidance for accurate reporting, compliance, and a thorough understanding of financial health in the changing economic landscape.