EY News & Analysis
3 articles
Market Mood
FRC Fines EY Nearly £1.2M for Made.com 2021 Audit Failures
The UK's Financial Reporting Council (FRC) has fined EY approximately £1.2 million and audit partner Julie Carlyle £49,000 due to deficiencies in the 2021 audit of Made.com Group. The audit failures included breaches in areas related to going concern and deferred tax assets. Made.com, which joined the London Stock Exchange in June 2021, faced significant financial challenges, reporting a loss before tax of £35.3 million in 2022, leading to administration in November 2022. This enforcement action underscores the importance of rigorous auditing standards and oversight, which can impact investor confidence in financial reporting.
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EY staff charged for accessing bank details of PM's office
Two men, aged 21 and 25, were charged for allegedly accessing the bank details of the Australian prime minister while they were on secondment at the country's largest lender. This incident raises concerns regarding data security practices within financial institutions. Official statements regarding the circumstances of the event were not disclosed. The potential ramifications for both EY and the involved lender could impact their reputations and regulatory scrutiny moving forward.
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Starbucks (SBUX) Taps $160B Functional Beverage Market
The global functional drinks market, valued at $160 billion, has seen a rising demand, particularly among younger consumers. Starbucks (SBUX) has recently introduced protein coffees in the U.S., Canada, and Europe to capitalize on this trend. According to EY's survey, around 75% of millennials and 80% of Gen Z are consuming functional beverages, with over half willing to pay more for drinks that support health goals. Furthermore, Danone's $1.15 billion acquisition of Huel and Pepsi's $2 billion purchase of Poppi illustrate the broader industry's shift towards functional drink offerings, indicating significant growth potential.
Read More: Starbucks (SBUX) Taps $160B Functional Beverage Market