All Restatements articles

  • trending up

    Report: SPACs drive restatement surge in 2021


    The total number of restatements and individual companies disclosing restatements in 2021 rose to their highest levels since 2006, according to Audit Analytics’ latest annual review.

  • Accountingbestpractices

    Report: Restatements drop to record low in 2020


    Financial statement restatements by public companies declined in 2020 to their lowest level in 20 years, according to the latest Audit Analytics study.

  • Trending down

    Report: 2019 restatements at 19-year low; revenue still top issue


    According to Audit Analytics’ latest annual restatement study, the total number of restatements dropped for the fifth consecutive year to a 19-year low of 484, with revenue recognition still the biggest driver.

  • Revenue

    Revenue recognition drove 2018 restatements, new report says


    Revenue recognition drove more restatements in 2018 than in prior years and caused more restatements than any other area of accounting, a new study finds.

  • Blog post

    Restatements declined with adjustments, analysis shows


    As restatements numbers have fallen in recent years, so too have out-of-period adjustments, according to a recent analysis by Audit Analytics.

  • Blog post

    Restatements dip again in 2017, newest study shows


    Title: Restatements dip again in 2017Restatements took another downward dip in 2017, suggesting continued improvement in financial reporting quality, according to the newest study from Audit Analytics.

  • Article

    FASB’s new hedging standard opens door to new strategies


    Companies have yet another new accounting standard from the Financial Accounting Standards Board to adopt, but this time they can’t wait to get started.

  • Blog post

    Audit tensions often precede control weaknesses, study says


    If tensions are rising between a given company and its external auditor, there’s a greater chance the company will be reporting internal control weaknesses.

  • Blog post

    Restatement study will show second year of decline in 2016


    Restatements in 2016 experienced a drop of 11 percent one year after dropping 12 percent and following a stubborn leveling off from 2008 to 2014, showing another year of incremental improvement in financial reporting.

  • Article

    FASB adopts eight new cash flow classification rules


    After years of nebulous guidance around three major issues of cash flow statements—operating, investing, and financing—FASB is making major clarifications. Tammy Whitehouse reports.

  • Blog post

    2015 audit inspections show some gains, some blown opinions


    The PCAOB’s earliest 2015 inspection results show some reductions in deficient audits, but also increases in restatements and withdrawn opinions. More from Tammy Whitehouse.

  • Blog post

    Restatement analysis identifies seasonality to disclosures


    While Audit Analytics was reviewing the results of its recent annual report on financial restatements, the company noticed an interesting—although not unexpected—trend. Restatements are most commonly disclosed in the spring.

  • Blog post

    Largest companies more often miss filing deadlines, new report shows


    A recent report from Audit Analytics finds that large accelerated filers, or those with a public float greater than $700 million, are finding it difficult to get their annual reports filed on time. In 2010, says Tammy Whitehouse, only 10 large accelerated filers gave notice to the markets that their ...

  • Blog post

    Restatements take another turn for the better, Audit Analytics says


    The total number of restatements that were serious enough to undermine reliance on prior financials fell to 161, the lowest level since 2006, according to the latest data from Audit Analytics. And the overall number of restatements dropped 12.7 percent in 2015 from the year before. Tammy Whitehouse has more ...

  • Blog post

    EZCORP Names Chief Accounting Officer Amid Financial Restatements


    EZCORP has appointed David McGuire as deputy chief financial officer and chief accounting officer, effective as of Jan. 11. The hiring of McGuire comes two months after the payday lender and pawn shop operator announced that it has filed its amended and past due periodic reports with the Securities and ...

  • Article

    Hertz Restatement Drives Home Top-Level Control Issues


    Image: Car rental kingpin Hertz Corp. is nearly finished with its sweeping restatement of several years’ worth of financial statements, and it’s giving compliance and audit executives plenty of cautionary tales to read. Its latest annual report outlines—in frank detail—more than a dozen failures, most of them in senior leadership. ...

  • Article

    ITT Complaint Shows Off-Balance-Sheet Woes Aren’t Off-Stage Yet


    An SEC lawsuit against ITT Educational Services could shape up to be another textbook case of what goes wrong when companies try to deal with problematic accounting away from the eye of investors. The problem this time: off-balance sheet vehicles that masked ITT’s defaulting student loans. Where were the auditors? ...

  • Article

    Parsing the Data on Financial Restatements


    Image: The data behind financial restatements tell a fairly positive tale for 2014, with improvements in financial reporting across many variables (unless you’re an accelerated filer, where restatements edged up from the prior year). Inside we have a close look at which companies restated for what reasons, and whether improvement ...

  • Blog post

    2014 Restatements Show Further Declines


    Restatement data for 2014 suggest companies are getting better at financial reporting—producing fewer erroneous reports, with less damaging effects, and correcting mistakes more quickly when they find them, the latest report from Audit Analytics shows. Contrary to all the good news, however, restatements among accelerated filers are not falling. More ...

  • Blog post

    Accounting-Related Class-Action Lawsuits Jump in 2014


    Image: A Cornerstone Research report says securities class-action filings involving allegations of accounting improprieties jumped sharply from 47 in 2013 to 69 in 2014. Senior adviser Laura Simmons said Cornerstone expected the SEC’s increased focus on financial reporting issues might lead to an increase in class actions with these issues. ...