Business Context and Reporting Period
This Form 8-K is a current report filed by The Estée Lauder Companies Inc. on February 21, 2020. The filing addresses a change in the Company's independent registered public accounting firm for the fiscal year ending June 30, 2021.
Key Financial Metrics
This filing does not contain financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity. The document is strictly procedural regarding the appointment of an auditor.
Material Changes
- Dismissal of Former Auditor: The Audit Committee approved the dismissal of KPMG LLP, which had served as the independent registered public accounting firm since 2002. The dismissal is effective upon the completion of KPMG's audits for the fiscal year ended June 30, 2020.
- Appointment of New Auditor: PricewaterhouseCoopers LLP (PwC) was appointed as the new independent registered public accounting firm for the fiscal year ending June 30, 2021, contingent upon the execution of an engagement letter.
- Audit History: KPMG's audit reports for fiscal years 2018 and 2019 contained no adverse opinions, disclaimers, or qualifications regarding uncertainty, scope, or accounting principles, aside from an explanatory paragraph in the 2019 report regarding the adoption of ASC Topic 606.
Guidance, Outlook, and Risks
The filing states there were no disagreements with KPMG on accounting principles, financial statement disclosure, or auditing scope during the fiscal years ended June 30, 2019 and 2018, or the interim period through February 21, 2020. Additionally, there were no reportable events as defined by Regulation S-K. No financial guidance or outlook is provided in this document.
Investor Verification Checklist
- Verify the effective date of PwC's engagement letter to confirm the start of their audit responsibilities.
- Review the upcoming Form 10-K for fiscal 2020 to confirm the transition of audit duties from KPMG to PwC.
- Confirm that no undisclosed disagreements or reportable events occurred during the transition period.