EY audit clients in Ohio

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Ohio is home to 19 S&P 500 Companies. Surprisingly, KPMG has no audit clients in Ohio. EY Ohio office leads with 8 audit clients bringing in a total audit fee of $65 million. PwC and Deloitte has 7 and 4 clients respectively.

Auditor# of companies auditedTotal fees ($ million)%
EY864.9137%
PwC754.8732%
Deloitte453.7331%

For enthusiasts who need the details, here you go! Procter and Gamble is the biggest client in the Ohio market paying a total audit fee of $31.10 million. Cardinal Health is next which pays $16.28 million.

CompanyHeadquarters LocationAuditorTotal ($ million)
Procter & GambleCincinnati, OhioDeloitte31.10
Cardinal Health Inc.Dublin, OhioEY16.28
American Electric PowerColumbus, OhioPwC12.68
Marathon PetroleumFindlay, OhioPwC12.09
TransDigm GroupCleveland, OhioEY11.27
Parker-HannifinCleveland, OhioDeloitte10.53
Sherwin-WilliamsCleveland, OhioEY9.57
Huntington BancsharesColumbus, OhioPwC9.08
KeyCorpCleveland, OhioEY8.67
FirstEnergy CorpAkron, OhioPwC6.96
Fifth Third BancorpCincinnati, OhioDeloitte6.77
Welltower Inc.Toledo, OhioEY5.93
L Brands Inc.Columbus, OhioEY5.60
Cincinnati FinancialFairfield, OhioDeloitte5.33
Kroger Co.Cincinnati, OhioPwC5.15
JM SmuckerOrrville, OhioEY5.10
Mettler ToledoColumbus, OhioPwC4.74
Progressive Corp.Mayfield Village, OhioPwC4.17
Cintas CorporationMason, OhioEY2.51

Look into our other blog posts for a listing of big 4 accounting firms and their respective S&P 500 audit clients. Subscribe to our posts for up to date information on Big4 firms and if there is some data point that you would like us to analyze, just drop in a comment.

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EY clients in Washington and Oregon

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Moving to Washington and Oregon, we see EY continuing to keep up with the gains from Silicon Valley. A total of 15 companies from WA and Oregon feature in the S&P 500 list. EY, Deloitte, PwC, and KPMG audits 5, 3, 3, and 4 companies respectively. EY brings in $110 million total audit fees followed by $71 million by Deloitte from Washington and Oregon clients.

Auditor# of companies auditedTotal fees ($ million)%
EY5109.8344%
Deloitte370.8428%
PwC348.8020%
KPMG418.948%

Deloitte and PwC was helped by two big clients Microsoft and Nike. The recent T-Mobile and Sprint transaction boosted PwC’s audit fees from T-Mobile. The details are provided below.

CompanyHeadquarters LocationAuditorTotal
Microsoft Corp.Redmond, WashingtonDeloitte58.28
Danaher Corp.Washington, D.C.EY35.68
Amazon.com Inc.Seattle, WashingtonEY25.63
Fortive CorpEverett, WashingtonEY23.95
NikeWashington County, OregonPwC23.90
T-Mobile USBellevue, WashingtonPwC20.76
Expedia GroupSeattle, WashingtonEY16.10
Costco Wholesale Corp.Issaquah, WashingtonKPMG8.83
Starbucks Corp.Seattle, WashingtonDeloitte8.79
PACCAR Inc.Bellevue, WashingtonEY8.47
WeyerhaeuserFederal Way, WashingtonKPMG5.22
F5 NetworksSeattle, WashingtonPwC4.14
NordstromSeattle, WashingtonDeloitte3.78
ExpeditorsSeattle, WashingtonKPMG2.88
Alaska Air Group IncSeattle, WashingtonKPMG2.01

Look into our other blog posts if you want to analyze the overall listing of big 4 accounting firms and their respective S&P 500 audit clients. Subscribe to our posts for up to date information on Big4 firms and if there is some data point that you would like us to analyze, just drop in a comment.

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PwC California clients

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Surprising results when looking at the S&P 500 companies in California and their auditors. First of all, 74 companies in S&P 500 is headquartered in California. That’s whopping 15% in one state. EY audits some of the big names in Tech while PwC manages to hold on to its lead in terms of total fee. Deloitte only earns 7% of the total fee while KPMG takes a 22% share. Audit revenues of PwC from California clients is $293.32 million and this is just looking at the S&P 500 companies.

Firm# of companies auditedTotal fees
($ million)
%
PwC24293.3237%
EY25280.3035%
KPMG17172.9522%
Deloitte854.417%

As always, for those interested here is the full list of S&P 500 companies headquartered in California and the total fees earned by big4 firms.

CompanyHeadquarters LocationAuditorTotal fees ($ million)
Wells FargoSan Francisco, CaliforniaKPMG57.18
The Walt Disney CompanyBurbank, CaliforniaPwC38.50
Oracle Corp.Redwood Shores, CaliforniaEY32.45
Cisco SystemsSan Jose, CaliforniaPwC30.80
Chevron Corp.San Ramon, CaliforniaPwC30.20
Alphabet Inc. (Class A)Mountain View, CaliforniaEY29.85
Facebook, Inc.Menlo Park, CaliforniaEY22.34
Apple Inc.Cupertino, CaliforniaEY21.28
HP Inc.Palo Alto, CaliforniaEY21.20
Salesforce.comSan Francisco, CaliforniaEY20.33
Broadcom Inc.San Jose, CaliforniaPwC20.23
Hewlett Packard EnterprisePalo Alto, CaliforniaEY19.00
Intel Corp.Santa Clara, CaliforniaEY18.60
CBRE GroupLos Angeles, CaliforniaKPMG18.30
eBay Inc.San Jose, CaliforniaPwC17.77
Western DigitalIrvine, CaliforniaKPMG15.54
Edison Int'lRosemead, CaliforniaPwC14.48
PayPalSan Jose, CaliforniaPwC14.09
Avery Dennison CorpGlendale, CaliforniaPwC13.70
QUALCOMM Inc.San Diego, CaliforniaPwC13.12
Sempra EnergySan Diego, CaliforniaDeloitte12.58
Live Nation EntertainmentBeverly Hills, CaliforniaEY12.51
Franklin ResourcesSan Mateo, CaliforniaPwC12.33
Charles Schwab CorporationSan Francisco, CaliforniaDeloitte12.20
Visa Inc.San Francisco, CaliforniaKPMG12.12
SVB FinancialSanta Clara, CaliforniaKPMG12.11
Activision BlizzardSanta Monica, CaliforniaPwC11.54
Twitter, Inc.San Francisco, CaliforniaPwC10.58
Gilead SciencesFoster City, CaliforniaEY10.51
EquinixRedwood City, CaliforniaPwC8.67
Amgen Inc.Thousand Oaks, CaliforniaEY8.51
Gap Inc.San Francisco, CaliforniaDeloitte8.38
Adobe Inc.San Jose, CaliforniaKPMG8.20
NetAppSunnyvale, CaliforniaDeloitte7.88
Netflix Inc.Los Gatos, CaliforniaEY7.86
KLA CorporationMilpitas, CaliforniaPwC7.82
Applied Materials Inc.Santa Clara, CaliforniaKPMG7.36
Juniper NetworksSunnyvale, CaliforniaEY7.33
Varian Medical SystemsPalo Alto, CaliforniaPwC7.02
ServiceNowSanta Clara, CaliforniaPwC6.26
Autodesk Inc.San Rafael, CaliforniaEY6.20
Align TechnologySan Jose, CaliforniaPwC6.16
The Clorox CompanyOakland, CaliforniaEY6.09
Advanced Micro Devices IncSanta Clara, CaliforniaEY5.55
Keysight TechnologiesSanta Rosa, CaliforniaPwC5.43
The Cooper CompaniesSan Ramon, CaliforniaKPMG5.40
Edwards LifesciencesIrvine, CaliforniaPwC5.30
Synopsys Inc.Mountain View, CaliforniaKPMG5.26
Nvidia CorporationSanta Clara, CaliforniaPwC5.24
Intuit Inc.Mountain View, CaliforniaEY5.21
Arista NetworksSanta Clara, CaliforniaEY5.20
First Republic BankSan Francisco, CaliforniaKPMG5.10
Electronic ArtsRedwood City, CaliforniaKPMG5.00
Lam ResearchFremont, CaliforniaEY4.92
PrologisSan Francisco, CaliforniaKPMG4.88
Digital Realty Trust IncSan Francisco, CaliforniaKPMG4.63
Agilent Technologies IncSanta Clara, CaliforniaPwC4.62
Healthpeak PropertiesLong Beach, CaliforniaDeloitte4.55
Intuitive Surgical Inc.Sunnyvale, CaliforniaPwC4.23
FortinetSunnyvale, CaliforniaDeloitte3.86
Realty Income CorporationSan Diego, CaliforniaKPMG3.77
Cadence Design SystemsSan Jose, CaliforniaKPMG3.69
XilinxSan Jose, CaliforniaEY3.67
Illumina IncSan Diego, CaliforniaEY3.25
Alexandria Real Estate EquitiesPasadena, CaliforniaEY3.14
Robert Half InternationalMenlo Park, CaliforniaPwC2.84
Monster BeverageCorona, CaliforniaDeloitte2.69
ResMedSan Diego, CaliforniaKPMG2.67
DexComSan Diego, CaliforniaEY2.66
Maxim Integrated Products IncSan Jose, CaliforniaPwC2.42
Ross StoresDublin, CaliforniaDeloitte2.29
Essex Property Trust, Inc.Palo Alto, CaliforniaKPMG1.76
Public StorageGlendale, CaliforniaEY1.40
Chipotle Mexican GrillNewport Beach, CaliforniaEY1.25

Look into our other blog posts for the overall listing of big 4 accounting firms and their respective S&P 500 audit clients. Subscribe to our posts for up to date information on Big4 firms and if there is some data point that you would like us to analyze, just drop in a comment.

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Auditor Changes in June 2020

Its June 30! End of another month under lockdown. Here are some stats on auditor changes for this month. Folks as an FYI, just looked into big4 auditor changes. So either the appointed or dismissed auditor had to be a big4 firm. Big month for Deloitte with no loss and gain of 7 audit engagements.

Auditor changes in June 2020 (#)

Here are the changes from a dollar perspective. Deloitte won engagements worth $86 million [Thanks to GE!]. The dollar gain was computed by using the fees paid to the dismissed auditor. The new auditor is probably not going to be paid that much but still a good datapoint! KPMG lost engagement worth $83 million [Again, Thanks to GE!] and won engagements worth $2 million.

Auditor changes in June 2020 ($)

So the score for the month of June is as follows;

FirmWinsLossNet
Deloitte707
PwC422
EY612-6
KPMG24-2
Big4 client changes in June 2020
Firm (in $’000)WinsLossNet
Deloitte86,19286,192
PwC2,203(6,860)(4,657)
EY8,506(10,823)(2,317)
KPMG1,928(82,534)(80,606)
Big4 client changes in June 2020

I know some of my enthusiasts would like to see the data behind these numbers. Sure folks! that’s what this blog is all about. Openness and analytics! If you want the excel file for this calculation, drop a note in the comment section. Plus, if I missed any changes let me know!

CompanyPrevious AuditorNew AuditorTotal Fee Previous Auditor (‘000) $
Tetra Technologies Inc.EYGT1,238
CSI Compressco LPEYGT
Marinus PharmaceuticalsKPMGEY650
Bristow Group Inc.GTKPMG1,024
Transworld Entertainment CorpKPMGFruci & Co.926
Open Lending CorpWithumEY
Office Properties Income TrustEYDeloitte1,044
Diversified Healthcare TrustEYDeloitte1,512
Service Properties TrustEYDeloitte2,261
RMR Group Inc.EYDeloitte749
Industrial Logistics Properties TrustEYDeloitte1,080
Tremont Mortgage TrustEYDeloitte446
Menlo Therapeutics Inc.KesselmanPwC335
Urogen Pharma Ltd.KesselmanPwC571
Priority Technology Holdings Inc.RSMEY777
Nikola CorpRSMEY
Riviera Resources Inc.KPMGBDO1,858
Circor International Inc.PwCEY6,611
Plymouth Industrial REITMarcumPwC867
Barings BDC Inc.EYKPMG904
Uranium Energy Corp.EYPwC430
Histogen Inc.EYMayer Hoffman502
Houston Wire & Cable Co.EYBKD LLP657
BRT Apartments CorpBDOEY468
Comstock Holding Companies Inc.BDOGT363
GE Inc.KPMGDeloitte79,100
Nexpoint Capital Inc.PwCRSM249
Big4 changes in June 2020

You’ll notice that EY lost a bunch of REIT clients. It’s all part of the RMR group Inc. Would be interesting to know why they switched. Also, Credit Suisse in Switzerland switched from KPMG to PwC as part of auditor rotation and filed with SEC the change this month. It was 64 million CHF in audit fees or $67 million USD. Would guess there are some Credit Suisse funds in the US which would have a new auditor this year! Did not include that change in this table since we don’t know the impact to the US firm. There will be a blog post soon on International auditor changes. Europe would be fun to watch here.

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Accounting firms in New York

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New York has some of the biggest names in the financial industry. Its no surprise that NY has 55 of the S&P 500 companies. That’s a solid 11% in one state. PwC New York office as expected leads over the other big3 both in terms of fees and number of clients. JP Morgan is the biggest client for PwC in terms of fees with a mind boggling $105 million. Probably the biggest fees among all clients [Check out our other posts!]. Deloitte New York office brings in $301 million total audit fees while KPMG New York brings in $278 million.

Auditor# of companies auditedTotal fees
($ million)
%
PwC22577.9844%
KPMG9277.5821%
Deloitte12301.1323%
EY11151.3111%
BDO17.971%

BDO makes it to the list for the first time. BDO audits Henry Schein, an health care distribution company. For my enthusiast friends who like to see the details, here you go! Some of the audit fees on this list are the biggest source of revenue for the big4 firm. Source of constant revenue even during a pandemic or recession.

SecurityHeadquarters LocationAuditorTotal
JPMorgan Chase & Co.New York, New YorkPwC104.80
Citigroup Inc.New York, New YorkKPMG97.40
International Business MachinesArmonk, New YorkPwC88.00
Goldman Sachs GroupNew York, New YorkPwC84.40
MetLife Inc.New York, New YorkDeloitte83.20
American International GroupNew York, New YorkPwC71.10
Morgan StanleyNew York, New YorkDeloitte56.30
Verizon CommunicationsNew York, New YorkEY50.90
The Bank of New York MellonNew York, New YorkKPMG46.74
Pfizer Inc.New York, New YorkKPMG46.53
Interpublic GroupNew York, New YorkPwC32.95
American Express CoNew York, New YorkPwC31.59
Bristol-Myers SquibbNew York, New YorkDeloitte29.00
Philip Morris InternationalNew York, New YorkPwC26.84
ViacomCBSNew York, New YorkPwC25.84
PepsiCo Inc.Purchase, New YorkKPMG25.60
Marsh & McLennanNew York, New YorkDeloitte24.54
BlackRockNew York, New YorkDeloitte24.45
Omnicom GroupNew York, New YorkKPMG23.61
News Corp. Class ANew York, New YorkEY22.13
Coty, IncNew York, New YorkDeloitte21.58
Loews Corp.New York, New YorkDeloitte20.79
AssurantNew York, New YorkPwC18.49
Howmet AerospaceNew York, New YorkPwC16.50
Colgate-PalmoliveNew York, New YorkPwC15.80
Estée Lauder CompaniesNew York, New YorkKPMG13.13
S&P Global, Inc.New York, New YorkEY11.53
Hess CorporationNew York, New YorkEY11.14
The Travelers Companies Inc.New York, New YorkKPMG10.72
Corning Inc.Corning, New YorkPwC10.31
Fox Corporation (Class A)New York, New YorkEY10.16
PVH Corp.New York, New YorkEY10.13
Intl Flavors & FragrancesNew York, New YorkPwC9.86
Nielsen HoldingsNew York, New YorkEY9.79
Mastercard Inc.Harrison, New YorkPwC9.63
Tapestry, Inc.New York, New YorkDeloitte9.47
Broadridge Financial SolutionsLake Success, New YorkDeloitte9.36
Ralph Lauren CorporationNew York, New YorkEY8.90
Nasdaq, Inc.New York, New YorkEY8.54
Henry ScheinMelville, New YorkBDO7.97
Vornado Realty TrustNew York, New YorkDeloitte7.87
Constellation BrandsVictor, New YorkKPMG7.85
Xylem Inc.White Plains, New YorkDeloitte7.64
E*TradeNew York, New YorkDeloitte6.92
Moody's CorpNew York, New YorkKPMG6.00
Consolidated EdisonNew York, New YorkPwC5.97
Tiffany & Co.New York, New YorkPwC5.83
M&T Bank Corp.Buffalo, New YorkPwC5.65
MSCI IncNew York, New YorkPwC5.43
Take-Two InteractiveNew York, New YorkEY4.72
SL Green RealtyNew York, New YorkEY3.38
Kimco RealtyNew Hyde Park, New YorkPwC2.38
MarketAxessNew York, New YorkPwC2.26
Regeneron PharmaceuticalsTarrytown, New YorkPwC2.26
Paychex Inc.Penfield, New YorkPwC2.08

Look into our other blog posts for the overall listing of big 4 accounting firms and their respective S&P 500 audit clients. Subscribe to our posts for up to date information on Big4 firms and if there is some data point that you would like us to analyze, just drop in a comment.

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Big4 Accounting firms in New Jersey

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NJ is the land of the big pharma and insurance giants. Looking at the S&P 500 companies in NJ and their big4 auditors throws up a very skewed result. PwC New Jersey office is a run-away winner with a whopping audit fees of $206 million. PwC represents 69% of the total audit fees collected in the market. Deloitte takes the second place followed by KPMG and EY. Here is the summary,

Auditor# of companies auditedTotal fees ($ million)%
PwC7205.9869%
Deloitte551.0017%
EY121.147%
KPMG222.397%

For folks who want to see the break-down, here you go.

CompanyHeadquarters LocationAuditorTotal Fees ($ million)
Prudential FinancialNewark, New JerseyPwC64
Johnson & JohnsonNew Brunswick, New JerseyPwC59.225
Merck & Co.Kenilworth, New JerseyPwC54.7
Honeywell Int'l Inc.Morristown, New JerseyDeloitte23.52
Becton DickinsonFranklin Lakes, New JerseyEY21.1415
Automatic Data ProcessingRoseland, New JerseyDeloitte12.353
ZoetisFlorham Park, New JerseyKPMG11.478
NRG EnergyPrinceton, New JerseyKPMG10.912
Campbell SoupCamden, New JerseyPwC10.622
Cognizant Technology SolutionsTeaneck, New JerseyPwC9.151
Public Serv. Enterprise Inc.Newark, New JerseyDeloitte6.9
Church & DwightEwing, New JerseyDeloitte4.674
American Water Works Company IncCamden, New JerseyPwC4.403
Quest DiagnosticsSecaucus, New JerseyPwC3.874
Verisk AnalyticsJersey City, New JerseyDeloitte3.559

Look into our other blog posts for the overall listing of big 4 accounting firms and their respective S&P 500 audit clients. Subscribe to our posts for up to date information on Big4 firms and if there is some data point that you would like us to analyze, just drop in a comment.

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Wirecard – What’s the fuss about

Wirecard files for insolvency after ex-CEO arrested in $2 billion ...

So by now, all of you have heard of Wirecard and the turmoil the company is in. So what exactly is the scandal and what is the background. Not worth writing a lengthy article on it. Here are quick points for your information.

1. Wirecard is a German company that links banks, retailers, and consumers. Basically an intermediary for an online transaction.

2. Started around in 1999, it grew exponentially between the periods 2015 to 2018 [that’s what they say]. At one point market cap was $24 billion euros. Now its around $6 billion. Spare a thought for the poor investors.

3. There were a lot of issues on the business model of the company. Not going into that now. We’ll focus on the current crisis that forced the company to file for bankruptcy.

4. EY was the independent auditor beginning from the period ending December 31, 2009. Audit fees was nominal in 2010 with the total payment being 292K euros

5. The below information is from Financial Times. For all enthusiasts who want to dig deeper, here is the link to the FT Article

March 2019 – FT reports half of Wirecard’s business is actually outsourced who then pay a commission to Wirecard. FT attempts to visit Wirecard offices in Philippines only to find a retired seaman and his family [Imagine living in a regional HQ of a global payments company. I’d take that]

April 2019 – SoftBank invests 900 million euros into the company. Seems like Wework is not the only laggard for the Japanese billionaire Masayoshi Son.

October 2019 – FT reports that profits in Dubai and Dublin offices were fraudulently inflated and customers in the list provided to EY for audit did not exist. KPMG appointed to conduct special audit.

March 2020 – EY postpones publication of full-year audited results. EY receives documents from a Wirecard trustee in Philippines confirming 1.9 billion euros held in two banks in the country.

April 2020 – KPMG report published. Report says KPMG cannot verify arrangements that are responsible for lion share of profits from 2016 to 2018. Also says no sufficient evidence for 1 billion euros of cash balance. Interestingly, CEO Braun tells investors that EY is ready to sign-off on 2019 results.

June 2020 – Philippine banks inform EY that documents detailing 1.9 billion euros of bank balance is spurious. Wirecard confirms 1.9 billion euros is missing. Also says previously issued audited results not reliable. [You bet!]. CEO Braun is arrested and on June 23, the company informs it will file for insolvency.

6. EY’s fees for 2018 was 2.3 million euros. [probably not worth the negative publicity its getting]

For all the first year associates out there. Cash confirmation is a critical audit procedure. Not sure enough credit is given for that when everyone is running behind impairment and what not! So hopefully you are now better informed for the latest accounting scandal.

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Big4 clients in Philadelphia

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Let’s first look at the state where our constitution was drafted. There are 16 S&P 500 companies with their headquarters in PA. Kraft Heinz is one which has HQ in Chicago and Pittsburgh. Looking at the audit fees paid by these companies, PwC takes a nice share with 37% followed by EY with 27%, Deloitte with 25%, and KPMG with 10%. For my friends who like to see data in tables, here you go.

The table below will show PwC, Deloitte, EY, and KPMG clients in Philadelphia.

Auditor# of companies auditedTotal fees ($M)%
Deloitte446.8625%
PwC668.3837%
KPMG119.3910%
EY550.2627%

 The lone client for KPMG is FMC Corporation. Interested in seeing more data? Here you go. Here is the details for folks who want to audit these numbers:

SecurityHeadquarters LocationAuditorTotal
Comcast Corp.Philadelphia, PennsylvaniaDeloitte30.30
PNC Financial ServicesPittsburgh, PennsylvaniaPwC24.50
FMC CorporationPhiladelphia, PennsylvaniaKPMG19.39
Kraft Heinz CoChicago, Illinois; Pittsburgh, PennsylvaniaPwC15.76
Lincoln NationalRadnor, PennsylvaniaEY14.11
PPG IndustriesPittsburgh, PennsylvaniaPwC14.10
Wabtec CorporationWilmerding, PennsylvaniaEY11.13
AmerisourceBergen CorpChesterbrook, PennsylvaniaEY10.26
AMETEK Inc.Berwyn, PennsylvaniaEY9.57
PPL Corp.Allentown, PennsylvaniaDeloitte8.28
TeleflexWayne, PennsylvaniaPwC7.07
Air Products & Chemicals IncAllentown, PennsylvaniaDeloitte5.90
The Hershey CompanyHershey, PennsylvaniaEY5.19
Universal Health Services, Inc.King of Prussia, PennsylvaniaPwC4.25
West Pharmaceutical ServicesExton, PennsylvaniaPwC2.70
ANSYSCanonsburg, PennsylvaniaDeloitte2.38

The biggest client for Deloitte in the region is Comcast Corporation, the cable & satellite giant. For PwC, the biggest client located in PA is PNC Financial Services, a regional bank. For EY, the biggest audit client is Lincoln National, an insurance company.

Look into our blog post for the overall listing of big 4 accounting firms and their respective S&P 500 audit clients. Subscribe to our posts for up to date information on Big4 firms and if there is some data point that you would like us to analyze, just drop in a comment.

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