Förekommer nedskrivningar av goodwill på Stockholmsbörsen i större utsträckning vid sämre redovisade resultat?
Background: Goodwill has always been frequently discussed and a lot of scientific research has been done regarding factors that affect companies? impairment of goodwill. Previous research has concluded that companies reporting low results are more prone to do impairments of goodwill than companies reporting better results which possibly can be seen as a form of earnings management.Purpose: The purpose of this essay is to examine if goodwill impairments occur to a greater extent among Swedish listed companies when the companies are reporting lower earnings. A subsidiary purpose is to see if there has been an improvement since 2008 regarding the size of reported goodwill in comparison to equity in the years 2009-2011. And to analyze the development of the companies goodwill impairments in relation to reported goodwill.Methodology: Three quantitative studies have been performed for the years 2009-2011 where all the listed companies on NASDAQ OMX Stockholm have been included. Relevant information has been collected from the companies? annual reports for further statistical testing of possible correlations.Results and conclusions: For the years 2009 and 2010 there was a significant negative correlation between listed companies? reported earnings and goodwill impairments as well as between negative earnings and goodwill impairments. This means that the previous research suggesting that companies are more likely to use goodwill impairments when they report lower earnings holds. There was no significant relationship in the year 2011 regarding the listed companies earnings and goodwill impairments as well as between negative earnings and goodwill impairments. There have been no major changes in the relationship between goodwill impairments and reported goodwill for the years 2009-2011. Even with comparison to the result of 2008 there have not been any big changes. The ratio of the companies? goodwill and their equity for the years 2009-2011 has been on a steady level. But compared to the situation in 2008 when the ratio was 30 percent, we conclude that an improvement has occurred.Suggestions for further research: Examine other variables impact on goodwill impairments.