About Group Audits of the (Consolidated) Financial Statements
We have extensive experience acting as both the group auditor and the component auditor in support of a foreign group auditor.
Companies with operations abroad are required to have their financial statements audited by local auditors. The group auditor is ultimately responsible for overseeing the group-level audit.
Acting as the Group Auditor
As the group auditor, we oversee the entire group audit for all entities within your organization. We ensure direct involvement from the beginning of the audit, engaging with management and providing specific instructions to the auditors of each component entity. Our approach is as follows:
- Clear and direct instructions regarding audit procedures provided to the auditors of the component entities.
- Evaluation of the results of the audit procedures with the auditors of the component entities. This includes reviewing documentation, which can be done on-site at the local auditor’s office if necessary.
- Review of the consolidation process for the group.
- Evaluation of the results of the overall audit procedures related to the component entities and consolidation.
Acting as the Component Auditor
Additionally, we can act as the component auditor and perform the required procedures as outlined in the group instructions provided by the group auditor.
Naturally, the approach for a group audit aligns with our methodology for statutory audits.