For finance teams preparing consolidated financial statements, segment reporting under IFRS 8 is often one of the most contentious and time-consuming disclosures. The standard requires entities to report operating segments based on the “management approach,” meaning segments must reflect how the chief operating decision maker (CODM) reviews performance and allocates resources. In practice, this creates a persistent friction: the internal reporting structure rarely aligns cleanly with external disclosure requirements. CFOs and controllers find themselves manually mapping dozens of cost centres, reconciling inter-segment eliminations, and drafting narrative descriptions that satisfy both the auditor and the board—often under tight filing deadlines.
The pain deepens when segment information must be reconciled to the primary financial statements. IFRS 8 requires disclosure of total segment revenues, profit or loss, assets, and liabilities, with a reconciliation to consolidated totals. Any mismatch triggers audit queries. Many teams spend weeks iterating through spreadsheets, chasing business unit heads for updated data, and rewriting footnotes to ensure consistency. The risk of material misstatement is real, and the cost of getting it wrong—restatements, reputational damage—is high.
ChatGPT changes this dynamic. By ingesting your internal segment data, organisational structure, and the exact wording of IFRS 8 requirements, the model can generate a first-pass segment report that is structurally compliant, internally consistent, and ready for review. It does not replace professional judgment, but it eliminates the grunt work: drafting segment descriptions, calculating reconciliation schedules, and flagging disclosure gaps. The result is a draft that your team can finalise in hours, not weeks.
How to Structure Your Prompt for Maximum Accuracy
The key to getting usable output from ChatGPT lies in how you frame the request. Vague instructions produce vague disclosures. You need to provide the model with the same information your team would use: the exact segment structure, the CODM’s review metrics, and the reconciliation logic. Below is a structured prompt template designed for IFRS 8 segment reporting. Copy it, adapt the bracketed placeholders, and run it with your latest data.
First, read these files completely before responding:
[segment_data.xlsx] — Contains segment revenues, segment profit/loss, segment assets, and segment liabilities for the current and prior year, by operating segment (North America, Europe, Asia-Pacific, Corporate Centre).
[org_structure.pdf] — Details the management reporting hierarchy, including which business units roll up into each operating segment, and identifies the Chief Operating Decision Maker (CODM) as the CEO.
[prior_year_disclosure.docx] — The segment note from last year’s annual report, including the reconciliation table and narrative descriptions.
Here is a reference for what I want to achieve:
[IFRS 8 illustrative disclosure from Deloitte model financial statements — uploaded as PDF]
Here’s what makes this reference work:
– Uses clear operating segment names consistent with internal management reporting
– Provides a reconciliation from total segment profit/loss to consolidated profit before tax
– Discloses the basis of accounting for inter-segment transactions (e.g., arm’s length)
– Includes a description of the factors used to identify reportable segments (management approach)
– Shows comparative information for the prior period
Here’s what I need for my version / SUCCESS BRIEF:
Type of output + length: Full IFRS 8 segment note (approx. 300–400 words) plus a reconciliation table in markdown format, suitable for inclusion in the annual report notes.
Recipient’s reaction: The CFO and external auditor should find it complete, consistent with internal reporting, and compliant with IFRS 8. No follow-up clarification questions on structure.
Does NOT sound like: Generic template language. Must use our actual segment names, actual numbers, and actual CODM review metrics (e.g., “adjusted EBITDA” not “profit or loss” unless that is our measure).
Success means: The draft can be pasted into the financial statements with only formatting adjustments and final number verification.
My context file contains my standards, constraints, audience. Read it fully before starting.
DO NOT start executing yet. Ask clarifying questions first.
Give me your execution plan (5 steps max) before you begin.
This prompt works because it forces ChatGPT to act as a structured analyst rather than a generic writer. The “read these files” instruction ensures the model accesses your actual data. The reference file (Deloitte model disclosure) sets a quality benchmark. The success brief eliminates ambiguity about tone, length, and audience. When you run this, expect ChatGPT to ask clarifying questions—for example, whether inter-segment transfers are at cost or market price, or whether the CODM reviews any non-GAAP measures. Answer those questions, then let it proceed. The execution plan step gives you a chance to approve the approach before the model generates the full output.
Handling the Reconciliation and Narrative Sections
Once you have a draft segment note, the next challenge is ensuring the reconciliation to consolidated totals is mathematically sound and the narrative descriptions are consistent with internal reporting. Many teams find that the reconciliation table—where segment totals are adjusted for eliminations, corporate costs, and non-operating items—is the most error-prone part. A second prompt, focused specifically on reconciliation logic and narrative consistency, can catch mismatches before they reach the audit committee.
First, read these files completely before responding:
[draft_segment_note.docx] — The segment note generated from the previous prompt, including the reconciliation table and narrative paragraphs.
[consolidated_fs.xlsx] — The consolidated income statement and balance sheet for the current year, with line items labelled.
[inter_company_eliminations.xlsx] — A schedule of inter-segment revenue and expense eliminations by segment pair.
[CODM_report.pdf] — The monthly management report that the CEO reviews, showing segment performance measures (adjusted EBITDA, capex, headcount).
Here is a reference for what I want to achieve:
[EY IFRS 8 disclosure checklist — uploaded as PDF]
Here’s what makes this reference work:
– Every line item in the reconciliation is explicitly tied to a consolidated FS line (e.g., “Total segment profit” → “Consolidated profit before tax” after adding “Unallocated corporate costs” and “Finance income”)
– Narrative descriptions include specific examples of how the CODM assesses performance (e.g., “adjusted EBITDA is defined as operating profit before depreciation, amortisation, and share-based compensation”)
– Inter-segment revenue is disclosed separately and eliminated in the reconciliation
– The report discloses that the accounting policies for segments are the same as those in the consolidated financial statements, except for [specific differences]
Here’s what I need for my version / SUCCESS BRIEF:
Type of output + length: Revised reconciliation table (markdown) and revised narrative descriptions (200–300 words total). The reconciliation must show a clear arithmetic path from segment totals to consolidated totals. The narrative must include: (a) basis of accounting for segments, (b) how the CODM measures performance, (c) types of products/services for each segment, (d) any changes in segment structure from prior year.
Recipient’s reaction: The auditor should be able to trace every number in the reconciliation to the consolidated FS without asking for additional schedules.
Does NOT sound like: A generic accounting textbook. Use our actual segment names (North America, Europe, Asia-Pacific, Corporate Centre) and our actual performance measure (adjusted EBITDA).
Success means: The revised note passes a cross-foot check (sum of segment amounts plus eliminations equals consolidated total) and the narrative uses the same terminology as our internal CODM report.
My context file contains my standards, constraints, audience. Read it fully before starting.
DO NOT start executing yet. Ask clarifying questions first.
Give me your execution plan (5 steps max) before you begin.
This second prompt is where the real value emerges. It forces ChatGPT to reconcile numbers, not just words. When you upload your consolidated FS and elimination schedules, the model can perform a mathematical cross-check and flag any discrepancy. For example, if your draft shows total segment revenue of €1,200 million but the consolidated income statement shows €1,150 million, ChatGPT will ask about the €50 million gap—likely inter-segment revenue that needs elimination. The narrative refinement ensures the language matches your internal reporting, not generic IFRS boilerplate. This is the difference between a disclosure that passes review and one that invites audit queries.
Practical tip for your next filing: Run the first prompt as soon as you have your preliminary segment data—ideally four weeks before the audit committee meeting. Use the output as a discussion draft with business unit heads. Then run the second prompt once you have final consolidated numbers and elimination schedules. This two-pass approach reduces last-minute rewrites and gives your team confidence that the segment note is both compliant and internally consistent.
Published on 15 July 2026 on growwithgpt.com