Over a hundred Shenzhen-listed companies have changed their auditing firms, resulting in a sharp decrease in clients for Deloitte, PwC, and TMF Group.

How fast are accounting firms that have been punished abandoned by clients? Recently, a communication on accounting supervision issued by the Shenzhen Securities Regulatory Bureau showed that 39 accounting firms audited the 2024 annual reports of 423 listed companies in the Shenzhen area. Compared with the previous year, 103 listed companies changed their audit firms in 2024, exceeding the total number of firms changed in 2022 and 2023, which was 98. The communication on supervision analyzed that due to the impact of "qualification penalties", three accounting firms, Deloitte Touche Tohmatsu, PricewaterhouseCoopers, and TMF Group, saw a significant decrease in the number of projects they undertook in the jurisdiction, with some even experiencing a reduction of more than 80%.