• Register
Return to: Home > News > Financial Results > KPMG India becomes leading firm by audit fee

KPMG India becomes leading firm by audit fee

KPMG India has jumped up two ranks to become the leading firm in the country, by audit fees paid out by companies listed on the National Stock exchange of India (NSE), according to a report by Prime Database Group.

The firm overtook EY and Deloitte after almost doubling its fees last year of INR 116.73 crore ($16.7m) to INR 216.38 crore. PwC came in fourth place.

Notably, Deloitte suffered a reduction of 109.61% in audit fees, down to INR 116.11 crore for FY 2017–2018

Based on 1,621 companies for which data was available, Prime Database said the total audit fees paid by companies listed on the NSE were INR 2,000 crore.

The Big Four dominated the market with a 32% share of audit fees. They also maintained dominance by volume of assignments, as they audited 482 assignments of the total 1,737 companies, or 28%.

Auditor rotation is taking place in 222 NSE-listed companies during 2017–2018 compared to 2016–2017 when 1016 companies changed their auditors. Regulations on auditor rotation was introduced in India on 1 April 2017.

It is predicted by Prime Database Group that in 2018–2019 as many as 860 audit firms will audit the 1,737 companies currently listed on the NSE which is a reduction from 925 audit firms which audited 1,703 of the 1,708 companies listed on NSE as of 31 March 2018.

The dominance of the Big Four in the Indian listed market is not unlike the current situation in the UK. The UK’s Competition and Markets Authority is currently investigating ways to improve competition in the FTSE 350 audit market.

Similar as in the UK, in India there is a big gap between the fee income of the fourth largest auditor, PwC at INR 114.35 crore, and the fifth largest, Walker Chandiok & Co at INR 52.20 crore.

The International Accounting Bulletin has approached KPMG and Deloitte for comment.

Top Content

    The UK: uncertain waves rule Britannia

    he UK’s accountancy profession is currently in a period of much uncertainty. The Competition and Markets Authority (CMA) has released its review into the listed audit market which could cause the biggest shake-up the profession has seen in years, the Kingman Review has described the Financial Reporting Council (FRC) as not being fit for purpose and called for it to be replaced. All the while the country remains in a deadlock on Brexit negotiations.

    read more

    Views from the Eurozone

    With Brexit looming, populist governments gaining footholds in a number of countries and movements such as the Yellow Jacket protests in France, 2018 was anything but a quite year for the eurozone. Here leaders report to the IAB on their markets.

    read more

    Eastern promise and how to find it

    With China rising as a global power, Jonathan Minter spoke with ShineWing’s Zhang Ke and Marco Carlei at the World Congress of Accountants 2018 in Sydney, to discuss the cultural challenges that occur when Chinese networks look beyond their border, and the dividends available for those who overcome them.

    read more

    Spain: looking to widen demand

    As Spanish accounting professionals prepare for new audit regulations, the Paul Golden asks what they need to do individually and at firm level to maintain and increase demand for their services.

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.