Escalade Inc. Changes Auditors
Ticker: ESCA · Form: 8-K · Filed: May 17, 2024 · CIK: 33488
Sentiment: neutral
Topics: auditor-change, accounting
Related Tickers: ESCA
TL;DR
Escalade dumped PwC for BDO USA, LLP as their auditor.
AI Summary
On May 13, 2024, Escalade, Inc. announced a change in its independent registered public accounting firm. The company dismissed PricewaterhouseCoopers LLP and has engaged BDO USA, LLP as its new auditor. This change was approved by the Audit Committee of the Board of Directors.
Why It Matters
A change in auditors can sometimes signal underlying concerns about financial reporting or internal controls, though it can also be a routine business decision.
Risk Assessment
Risk Level: low — The filing is a routine disclosure of a change in independent auditors and does not indicate any immediate financial distress or significant operational changes.
Key Players & Entities
- Escalade, Inc. (company) — Registrant
- PricewaterhouseCoopers LLP (company) — Former independent registered public accounting firm
- BDO USA, LLP (company) — New independent registered public accounting firm
- Audit Committee of the Board of Directors (company) — Approved the auditor change
FAQ
When was the decision to change auditors made?
The decision to dismiss PricewaterhouseCoopers LLP and engage BDO USA, LLP was made on May 13, 2024.
What was the reason for dismissing PricewaterhouseCoopers LLP?
The filing states that the dismissal of PricewaterhouseCoopers LLP was not the result of any disagreement between the Company and PricewaterhouseCoopers LLP on any matter of accounting principles or practices, or financial statement disclosure.
Has BDO USA, LLP audited Escalade, Inc. before?
The filing does not indicate any prior auditing relationship between Escalade, Inc. and BDO USA, LLP.
Who approved the change in auditors?
The change in independent registered public accounting firm was approved by the Audit Committee of the Board of Directors of Escalade, Inc.
Did PricewaterhouseCoopers LLP report any adverse opinions or disagreements?
No, the filing explicitly states there were no disagreements on any matters of accounting principles or practices, or financial statement disclosure.
Filing Stats: 1,354 words · 5 min read · ~5 pages · Grade level 18.4 · Accepted 2024-05-17 16:01:46
Filing Documents
- esca20240517_8k.htm (8-K) — 36KB
- ex_676287.htm (EX-16.1) — 4KB
- forvislogo.jpg (GRAPHIC) — 8KB
- praxitylogo.jpg (GRAPHIC) — 9KB
- 0001437749-24-017477.txt ( ) — 197KB
- esca-20240513.xsd (EX-101.SCH) — 3KB
- esca-20240513_def.xml (EX-101.DEF) — 11KB
- esca-20240513_lab.xml (EX-101.LAB) — 15KB
- esca-20240513_pre.xml (EX-101.PRE) — 11KB
- esca20240517_8k_htm.xml (XML) — 3KB
01 Changes in Registrant ' s Certifying Accountant
Item 4.01 Changes in Registrant ' s Certifying Accountant. (a) Dismissal of Independent Registered Public Accounting Firm. On May 13, 2024, Escalade, Incorporated (the "Company"), with the approval of the Audit Committee of the Board of Directors of the Company (the "Audit Committee) and of the Board of Directors, notified FORVIS, LLP ("FORVIS"), the Company's independent registered accounting firm since 1977, that the Company was dismissing FORVIS as the Company's independent registered accounting firm effective immediately. FORVIS's report on the Company's consolidated financial statements for the two most recent fiscal years ended December 31, 2023 and 2022 did not contain an adverse opinion or disclaimer of opinion and was not qualified or modified as to uncertainty, audit scope or accounting principles. During the Company's two most recent fiscal years ended December 31, 2023 and 2022, and subsequent interim periods through the date of this report, there were no disagreements with FORVIS on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure which, if not resolved to the satisfaction of FORVIS, would have caused FORVIS to make reference to the matter in connection with its report. There were no reportable events of the type listed in paragraphs (A) through (D) of Item 304(a)(1)(v) of Regulation S-K that occurred within the years ended December 31, 2023 and 2022, and subsequent interim periods through the date of this report, except for the material weaknesses in the Company's internal control over financial reporting, as previously reported in Part II, Item 9A, "Controls and Procedures," in the Company's annual report on Form 10-K for the year ended December 31, 2023 and in the Company's annual report, as amended, on Form 10-K/A for the year ended December 31, 2022, each as filed with the Securities and Exchange Commission (the "SEC") on March 29, 2024, and in Part I, Item 4, "Controls and Proced
01 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits (d) Exhibits Exhibit Description 16.1 Letter from FORVIS, LLP dated May 15, 2024 104 Cover Page Interactive Data File, formatted in Inline Extensible Business Reporting Language (iXBRL).
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, Escalade, Incorporated has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: May 17, 2024 ESCALADE, INCORPORATED By: /s/ STEPHEN R. WAWRIN Stephen R. Wawrin, Vice President and Chief Financial Officer 3