Business Context and Reporting Period
This Form 6-K filing by 111, Inc. (a foreign private issuer) is dated July 19, 2024. The report addresses a change in the Company's independent registered public accounting firm effective as of this date.
Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. This document is a disclosure of a corporate governance change rather than a financial results report.
Material Changes
- Accounting Firm Change: The Company dismissed Deloitte Touche Tohmatsu Certified Public Accountants LLP ("Deloitte") and engaged Grant Thornton Zhitong Certified Public Accountants LLP ("Grant Thornton") as its new independent registered public accounting firm.
- Approval: The change was approved by the Company's board of directors and audit committee.
- Reason for Change: The decision was not made due to any disagreements with Deloitte regarding accounting principles, financial statement disclosure, or auditing scope.
Outlook, Risks, and Commentary
- Deloitte's Tenure: Deloitte served as the independent auditor since 2018. Their audit reports for the years ended December 31, 2022, and 2023, and the related internal control audits, contained no adverse opinions, disclaimers, or qualifications.
- Disagreements: There were no disagreements or "reportable events" between the Company and Deloitte during the years ended December 31, 2022 and 2023, or in the subsequent interim period.
- Future Scope: Grant Thornton is engaged to audit the consolidated financial statements and internal control over financial reporting for the year ending December 31, 2024.
- Regulatory Compliance: The filing satisfies reporting obligations under Item 16F(a) of the Company's Form 20-F for the fiscal year ending December 31, 2024.
Key Facts for Investor Verification
- Verify the effective date of the auditor transition (July 19, 2024).
- Confirm the absence of any disagreements or reportable events with the former auditor, Deloitte.
- Note that Grant Thornton will audit the fiscal year ending December 31, 2024.
- Review Exhibit 16.1 (Deloitte's letter to the SEC) for their formal confirmation of the statements made in this filing.