Hong Kong Institute of Certified Public Accountants: Some companies chose to suspend listing and the workload of accountants was not greatly affected

The Zhitong Finance App learned that several companies have recently postponed, withdrawn, or failed to apply for listing. Law Cheuk-kin, president of the Hong Kong Association of Certified Public Accountants, believes that since market value, circulation, etc. did not meet issuers' expectations, these companies chose to withdraw their listing. Unless the issuer completely shelves the listing plan, accountants are required to continue updating the data, so the accountant's workload has not changed much.

He added that although manpower continues to be tight, the industry has hired a large number of additional personnel. The Association also trains many talents every year, and also uses artificial intelligence tools to assist them, stressing that the industry will act in accordance with audit standards.

The Hong Kong Securities Regulatory Commission and others issued a joint statement last month, concerned about the continuing increase in cases where auditors “are unable to express an opinion” on the financial statements of listed companies due to ongoing management issues. Law Cheuk-kin said that this is a kind guideline for auditors. It is not a matter of accusation that the auditors have problems. The relevant audit guidelines have not changed. They are more of the company's own business issues. They may involve changes in the market and poor business. They will all touch on reservations of varying degrees, and the trading will need to be suspended.

Law Cheuk-kin pointed out that communication between the Association and the Accounting and Hong Kong Financial Reporting Council on ESG assurance is progressing well, and it is expected that there will be a summary of relevant consultations before the end of the year. The Association supports this.