Press Release 2023 AGM Review (2) 2023.07.18
- It is desirable that an audit committee reviews quarterly financial statements as well as annual financial statements, a statutory requirement under the Commercial Act, for increased reliability and integrity of disclosed financial information.
- KCGS ESG Code of Best Practices recommends that the audit committee review the quarterly reporting process. Regulators of some countries recommend or mandate audit committees’ review of quarterly financial statements.
- Research into FY2022 activities of the audit committees of KOSPI 100 firms, however, shows that about half of the firms did not go through the review process of quarterly financial statements.
- Audit committees are advised to be more active in reviewing quarterly financial statements. Institutional investors should monitor whether audit committees actively perform auditing activities, including quarterly reviews.
For the details, please check the attached file.
- [KCGS-R] 2023 AGM Review(2) - Analysis of Audit Committee’s Quarterly Review of Financial Statements.pdf