Deloitte leads major global and national firms in new SEC audit client engagements for the third quarter in a row. With 8 audit client engagements and 5 departures, Deloitte had a net of 3 new SEC audit clients. RSM US, Crowe Horwath and BKD also had net increases in new SEC audit clients this quarter.
Sadler Gibb & Associates, with eleven new engagements, four losses, and a net of seven new clients, accounts for the most new SEC audit clients among all firms this quarter. As noted by Accounting Today, a majority of their new clients came from KLJ & Associates LLP who sold their practice.
As seen in the matrix below, there were 36 new engagements and 44 departures during Q3. Overall, there was a decrease in SEC-client auditor change activity among the major global and national firms compared to last quarter.
The table below presents a comprehensive view of the gains and losses of the major global and national firms. It shows how many SEC audit clients each auditor gained or lost, and also the auditor from or to which the client was won or lost.
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In the following tables, we disaggregate the auditor changes by the size of the companies gained or lost, as represented by the companies’ filing status. The first table shows auditor changes for Large Accelerated Filers, i.e., those with a worldwide public float of more than $700 million.
Crowe Horwath and Ernst & Young, with a net of two new SEC audit clients each, led the way for Large Accelerated Filers this quarter.
Grant Thornton, with no losses to its name, won one Large Accelerated Filer as a new SEC audit client.
The next table presents a sample of the largest wins and losses for Accelerated Filers, which are companies with public float between $75 million and $700 million.
Deloitte was the leading auditor for the Accelerated Filers, with five new engagements and one loss, for a net of four new clients.
Finally, the last table presents the top five gains and losses for Smaller Reporting Companies.
Sadler Gibb & Associates and Wei Wei & Co tied for top audit firm among the Smaller Reporting Companies, both netted five new clients.
Close behind and with no losses, RBSM and Fruci & Associates II, each gained 4 new SEC audit clients.
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