Non-Controlling Interest (NCI)
Accounting glossary · Understand, connect, apply
Non-controlling interest is the equity in a subsidiary attributable to owners other than the parent, directly or indirectly. IFRS consolidated statements generally present it separately within equity.
Example
A parent owns 80% of a subsidiary with ordinary shares carrying identical economic rights. The remaining owners have a 20% non-controlling interest.
Remember the difference
The consolidated group generally includes all of the subsidiary’s assets and liabilities. NCI identifies the other owners’ equity interest and share of results.
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Published 9 November 2026. Prepared with AI assistance. Examples are fictional and simplified for learning.
Examples are simplified for learning. Where a term depends on US law, IFRS, US GAAP or a historical rule, check the context explained above and the requirements relevant to your course.
Study references: OpenStax financial accounting and managerial accounting. For reporting requirements, consult the applicable IFRS Standards or FASB guidance. US tax terms should be checked against the relevant tax-year IRS instructions.
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