The number of companies assigned auditors last year was 1,971, up 112 (6.0%) from the previous year. The share of engagements handled by the four major accounting firms—Samil, Samjong, Anjin and Hanyoung—edged down.
On the 26th, the Financial Supervisory Service (FSS) released these details in materials titled "Status of companies subject to external audit in 2025 and assigned auditors."
According to the Financial Supervisory Service (FSS), as of the end of last year, there were 42,891 companies subject to external audit, up 773 (1.8%) from the previous year. Except for 2020, the number has increased every year, but the growth rate slowed slightly by 0.4 percentage point from the previous year's 2.2%.
By type, unlisted stock companies accounted for most of the total at 39,467 (92.0%). Listed corporations numbered 2,752 (6.4%), and limited companies totaled 672 (1.6%).
The total number of companies with assigned auditors was 1,971, up 112 (6.0%) from a year earlier. Periodic assignments totaled 525, down five from the previous year, while assignments by authority rose by 117 to 1,446. "Assignment by authority" means that the financial authorities directly designate an external auditor for corporations whose accounting transparency is a concern due to weak financial structures and other issues.
By reason for assignment by authority, companies planning to list were the most numerous at 475, followed by failure to appoint an auditor (381), failing to meet financial criteria (196), and being on the management watch list (156). In particular, failures to appoint an auditor increased by 83 from the previous year, the largest jump. Violations of auditor appointment procedures also more than tripled, from 12 to 38.
By accounting firm, the engagement share of Group A, which includes the four major firms—Samil, Samjong, Anjin and Hanyoung—was 53.0%, down 1.8 percentage points from the previous year. As the designation method was rationalized last year, including differentiating the weighting applied to companies with total assets of 5 trillion won or more, the concentration has eased somewhat.
By asset size, corporations with 10 billion to 50 billion won in assets accounted for 63.5%, more than half.
An Financial Supervisory Service (FSS) official said, "Through briefings on the external audit system and other efforts, we will continue to guide companies subject to external audit and others so they do not violate key compliance obligations, while faithfully carrying out the 'plan to improve accounting and audit quality' being pursued to enhance accounting transparency and establish order in the capital market."