What Caused SEC Investigation for Healthcare Services Group, Inc.?

On March 4, 2019, Healthcare Services Group, Inc. [HCSG] disclosed that the company will delay its 2018 annual report because the Securities and Exchange Commission (SEC) is conducting a formal investigation into earnings per share (EPS) calculation practices. The investigation … Continue reading

Reasons for an Amended 10-K: 2018

Form 10-K, an annual report filed by US-based public registrants, is the most comprehensive source of information regarding a company’s financials and its underlying business. These reports are thoroughly scrutinized by investors and other users, which explains why they need … Continue reading

Kingsway Financial Services, Inc. [KFS]: Extensive SEC Comment Letter Conversation Identifies Accounting Errors

Kingsway Financial Services, Inc. [KFS] was forced to restate financial statements to correct revenue recognition errors related to adoption of ASC 606 and its effect on warranty subscriptions and commissions The restatement was triggered by a 15-letter comment letter conversation … Continue reading

2018 Audit Committee Transparency Barometer

Last week, the Center for Audit Quality released its fifth annual Audit Committee Transparency Barometer. Compiled and published with Audit Analytics, the Barometer provides a year-over-year comparison in key audit committee disclosure areas and assesses the extent of audit committee … Continue reading

Audit Analytics now Offers Accounting Quality Insights

Audit Analytics is proud to announce Accounting Quality Insights, our newest research product geared towards investors and financial professionals. Accounting matters are crucial in understanding the complete financial picture of a company; our insights cover accounting, control, and related governance … Continue reading

How to Predict Which Acquisitions Will Fail and Generate Negative Stock Returns

Summary of Key Findings It can be difficult to predict which acquisitions are going to fail An academic article using Audit Analytics’ data identified statistically significant negative abnormal returns of 12% for a subset of acquisitions that were excluded from … Continue reading