Guide to translating the half-yearly report

When it comes to translating the half-yearly report, it is crucial to choose the most appropriate translation strategy to avoid serious consequences such as misinterpretation of financial data, reputational damage, penalties from regulators, and even loss of investments.

Accurate translation ensures that information is correctly communicated, triggering a virtuous circle of benefits for the company: It improves its reputation, ensures compliance with international regulations, and increases investor confidence.

Those who are not in the translation business question how they can achieve this for their half-yearly report and are often faced with three options, namely:

• self-managed translation
• machine translation
• translation with a professional translation agency

In this article we are going to analyze the advantages and disadvantages of each of these options and then share a guide to follow for choosing the most appropriate solution for the resources and expectations of those who have to translate such a significant financial document.

Self-managed translation of the half-yearly report

“Do-it-yourself” translation is a practice that involves translation by internal company staff in a wide variety of roles. These staff often possess good language skills but are not specialized in professional translation.

Several circumstances delude people into thinking they can autonomously translate the half-yearly report, including tight budgets and the need to meet quick deadlines. This choice has the following advantages:

• Cost reduction – Translating in-house may seem like an inexpensive solution because it avoids the costs of a professional translation service, and it is the choice often favored by small companies with limited financial resources.
• Timeliness – Do-it-yourself translation may seem faster because, in urgent situations, it eliminates the time required for communication and coordination with a translation agency.
• Direct control – Managing the process in-house allows you to maintain complete control over content and terminology internally, avoiding the need to brief and communicate details to outside suppliers.

Despite the apparent advantages, there are considerable risks associated with translating the half-yearly report internally:

• Errors and inaccuracies – Lack of specific expertise and familiarity with financial terminology increases the risk of translation errors, which can compromise communication of financial information and negatively influence stakeholder decisions.
• Drop in business productivity – Employing unskilled staff in the translation process can divert them from other crucial tasks at the expense of business productivity.
• Unprofessional result – The lack of a qualified proofreading process increases the likelihood of errors slipping into the final text, while professional translation agencies ensure rigorous quality control and a flawless final product.

The decision to independently handle translation of the half-yearly report must therefore be carefully considered, assessing whether the apparent immediate savings really justify the potential long-term risks.

Machine translation of the half-yearly report

Machine translation is a quick, inexpensive alternative means of handling the half-yearly report using modern technology that is easily accessible to all. This method could be an attractive choice for meeting urgent deadlines or for companies with tight budgets thanks to the following advantages:

• Speed – Machine translation tools process large volumes of text very quickly, so they are an ideal option for emergencies.
• Reduced cost – Certainly less expensive than a professional service, if not free, machine translation can help significantly lower expenses.
• Accessibility – Machine translation tools are easily accessible online and do not require advanced language skills, making them an ideal option for preliminary translation or noncritical documents.

However, despite the apparent immediate benefits, machine translation also entails obvious risks and limitations:

• Hallucinations – Machine translation tools and artificial intelligence can generate significant errors in unexpected situations, even when the tone and fluency of the text appear reliable. This can result in major errors that alter how financial information is reported.
• Lack of cultural adaptation – Machine translation does not consider cultural and linguistic nuances and is limited to a literal translation that may be inadequate, undermining the meaning or intention of the original communication.
• Lack of human review – If machine translation tools are used without a professional human review and control process, there is a greater risk of errors and inaccuracies, potentially affecting the company’s reputation.

Although machine translation can offer quick, low-cost solutions, it is critical to carefully assess the associated risks, especially when accuracy of information is crucial.

Translation of the half-yearly report with a professional translation agency

The third option available to those who need to translate the half-yearly report is to contact a professional translation agency. In this case, the main advantages are:

• Accuracy and precision – Specialized translation agencies employ experienced financial translators, ensuring faithful, accurate interpretation and the use of appropriate technical terminology, which minimizes the risk of errors and ensures proper communication of financial information.
• Guaranteed quality – Translation agencies apply rigorous quality control and multiple reviews to their work processes, ensuring high-quality translations that protect corporate reputation and maintain high investor confidence.
• Regulatory compliance – Professional translation agencies stay abreast of international financial regulations, ensuring that translations comply with applicable laws and regulations, preventing legal penalties.

However, this decision also requires certain aspects to be considered. Although decidedly less impactful than the substantial advantages offered by using an agency, these aspects could affect the final choice of some companies and businesses.

• Cost – High quality comes at a higher price, which may prove prohibitive for companies with tight budgets, but it is an essential investment in ensuring appropriate, valuable financial communications.
• Delivery time – Accurate translation and proofreading processes require more technical time than previous alternatives, but translation agencies know how to carefully plan deadlines, satisfying even the most urgent requests.
• Dependence on external suppliers – Working with a translation agency introduces an external element into project management, which may appear to exacerbate operational complexity. However, specialized agencies consistently demonstrate their ability to understand and meet companies’ specific needs, alleviating their burdens and ensuring a high-quality end product.

Evaluating these factors is crucial to understanding whether a translation agency is the best fit for your specific business needs and circumstances.

How to choose the right partner for translation of the half-yearly report

Every company has different resources, needs and priorities. To help you choose the right translation partner for your half-yearly report, here is a clear and structured six-step decision-making method:

• Assess your internal staff – Consider whether you have enough time and in-house expertise to handle translation without impacting other critical areas. Examine your team’s ability and skills to handle complex financial documents.
• Analyze costs – Estimate the budget you can allocate to translation and compare the costs of different options, also taking into account the financial risks associated with possible translation errors, such as reputational damage and legal penalties.
• Consider the importance of quality and accuracy – Reflect on the importance of accuracy in translating a critical document such as the half-yearly report. If a high level of accuracy is needed, opting for a professional translation agency is usually the best choice.
• Properly assess timelines and deadlines – Assess the translation timelines for each option and how they align with your deadlines and required quality.
• Analyze all available options – Analyze the pros and cons of each option in relation to your needs. Also evaluate the outcomes of past experiences to guide your choice.
• Make the final decision – Choose the option that best balances quality, cost, time and the resources available to you.

Following these steps will enable you to make an informed, conscious choice, capitalizing on the effectiveness and efficiency of the translation process.

If you choose to rely on professionals in the field, we at Way2Global are here to help, supported by over 30 years of experience in financial document translation and a network of more than 8,000 translators.

Contact us to find out how we can assist you in translating your half-yearly reports and improve your access to international investors.