Economic pessimism is on the wane among audit partners, though they’re not feeling as confident as they were last year, according to a new survey Tuesday from the Center for Audit Quality.
The CAQ’s
The top two risks identified by the audit partners who were surveyed are regulatory ambiguity (54%) and trade tensions (53%), as opposed to this past spring when recession fears topped the list.
Companies are expanding their disclosures in three main areas: business strategy disclosures (61%), financial performance disclosures (58%), and artificial intelligence integration disclosures (48%).
AI is perceived less as discretionary spending and more as essential to long-term efficiency and resilience, with AI adoption mainly focusing on process automation and customer support.
Even as 58% of audit partners report companies are pursuing headcount reductions, 53% of the survey respondents said their companies are focusing on targeted upskilling, while 43% of the respondents indicated tighter hybrid work policies are being implemented, artificial intelligence investments continue to climb.
A recent
“The insights in this survey reflect what makes assurance so valuable: audit partners spend their careers deeply embedded in the operations, strategies and risk environments of the companies they audit,” said CAQ CEO Julie Bell Lindsay in a statement Tuesday. “That depth of knowledge is invaluable to investors, policymakers and business leaders navigating today’s changing economic and regulatory environment. They are providing not just accountability, but a perspective that helps all stakeholders navigate change with greater confidence.”
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