Mid-tier Auditors Struggle to Shed High Error Rates in US Exams

Larger mid-tier audit firms continue to have trouble meeting core standards for how they vet the revenues and cash flows of public companies, according to their US regulator.

The Public Company Accounting Oversight Board released annual inspection findings for eight mid-sized firms on Thursday, showing missteps in about half of the audits inspected on average. Their results reflect halting improvements across the industry, with the board finding problems in 39% of all audits it inspected in 2024, compared to nearly half the previous year.

The mid-tier reports landed in the aftermath of a leadership upheaval at the PCAOB as ...