PCAOB Releases Spotlight Publication on Public-Company Audit Inspections Conducted During 2025

The staff in the PCAOB’s Division of Registration and Inspections has released a report detailing the results of its inspections of PCAOB-registered audit firms during 2025. The report notes that the Board has continued to observe audit-quality improvements as well as a reduction in rates of deficiencies at various types of firms, including Part I.A deficiencies (i.e., failures of auditors to “obtain sufficient appropriate evidence” to support a financial statement opinion).

The report indicates that, in upcoming inspections, the PCAOB is expecting to “place greater emphasis on understanding and evaluating firms’ quality control systems” given the approaching effective date of QC 1000 (i.e., December 15, 2026).

For more information, see the press release on the PCAOB’s Web site.