The Key Audit Matters: Auditor’s report snapshot provides our insights and observations on Key Audit Matters (KAMs) from published audit reports of 16 entities. Our analysis highlights the top four KAM topics, representing over 60 percent of all KAMs communicated.  It provides industry specific observations and analysis, sharing patterns you may not have expected.

Including Key Audit Matters in audit reports of listed entities results from a new auditing standard, adopted for 31 December 2016 year ends and onwards.  It is the biggest change auditors have seen to the auditing standards since the introduction of the clarity standards in 2004.  

The platform for change was to provide insights to shareholders on the performance of the audit, previously only viewed by those in the board room. We analysed those entities in the NZX with 31 December 2016 year ends.