AMP (ASX:AMP) announced a significant shift in its financial reporting methodology ahead of its full-year results scheduled for Feb. 12.
Following an extensive "business simplification" program, the group is reallocating approximately $48 million in annual technology and property expenses from its corporate center directly to its individual business units.
While this structural change does not impact the group's total profit or controllable costs, it provides a more granular and accurate view of the actual operating costs for each division.
In a move to align with industry peers, AMP is also revising its cost-to-income ratio calculation.
The new methodology removes investment income from the equation, focusing strictly on controllable costs divided by gross profit.