Audit services

Audit services are one of PKF MEF-Audit’s key business lines.

We have extensive audit experience in various fields, with the following companies as our clients: Pobeda airline, Lenta hypermarket chain, Central Suburban Passenger Company, Damate Group, Mangazeya Group, large retail center operators: GUM, Metropolis retail center, Galereya retail center, portfolio companies managed by investment funds of VTB Capital, etc.


PKF MEF-Audit is active in improving the application of the International Standards on Auditing (ISAs), as in effect from 1 January 2017. In this process, we receive considerable support from close cooperation between PKF International and Forum of Firms, an independent association of international accounting networks headed by Theo Vermaak, a PFK representative.

In addition to audit, we provide a wide range of auxiliary and other audit-related services:

  • IFRS-related services, including transformation for IFRS purposes or Reporting Package, calculating individual indicators, and preparing a full package of statements;
  • review of interim financial information;
  • agreed-upon Procedures;
  • Due Diligence;
  • analysis of accounting system and procedures, including structure and management of the financial service (management structure, internal regulations);
  • assessment of the internal control system;
  • internal and financial audit;
  • assurance engagements.


mandatory audit: audit required by the Russian law or the laws of other states, and
voluntary audit: which is not required by the law, but may be carried out at the request of the audited Company, its owners or management, as well as in accordance with the requirements of financial institutions, creditors, holding company, or other users.

We carry out audits of statements prepared according to the RAS, IFRS, and our corporate reporting standards (Reporting Package) developed based on generally accepted accounting principles (GAAP) of certain countries.

Audit may also be carried out in respect of individual parts/items (indicators) of statements (costs, cash flows, target financing, etc.).

Much of the gap between national accounting standards and International Financial Reporting Standards has closed in the recent years. IFRS are being actively integrated in the existing accounting and reporting system, increasing the transparency of Russian companies’ operations and changing Russian standards.

Our specialists have a deep understanding of international reporting standards and are experienced in drawing up and auditing IFRS statements for companies from various industries. All our specialists are members of ACCA (Association of Chartered Certified Accountants) or have DipIFR (Diploma in International Financial Reporting) degrees.

We offer the following IFRS-related services:

  • audit of IFRS statements;
  • transformation of RAS data for IFRS reporting;
  • calculating specific indicators for IFRS purposes (e.g. reflecting leasing operations, deferred taxes, performance in complex consolidations, etc.);
  • preparing (compiling) a full package of IFRS statements, including consolidated and combined statements;
  • advising on various IFRS-related aspects, including methodological support and assistance in preparing statements;
  • training in preparing IFRS statements.

IFRS are deemed to also include any standards developed based on GAAP of certain countries.

A review of interim financial information is usually conducted in respect of an interim period.
This is an express audit associated with the least number of man-hours, providing a limited degree of assurance. The goal of the audit is to identify risks capable of causing material distortions in accounting (financial) statements. This allows the auditor to determine whether the accounting (financial) statements reflect the true state of affairs of the economic entity in accordance with the applicable accounting and reporting regulations.

Auditing procedures pre-approved by the customer.

They may include the following:

  • in respect of individual financial information indicators, e.g. accounts payable or receivable, related party transactions;
  • and one of the items of accounting (financial) statements, e.g. the balance sheet or accounting (financial) statements as a whole.

Due diligence provides an objective view of the investment target; it includes an assessment of investment risks, independent appraisal, and a multitude of other factors; develops recommendations on improvement and raising the efficiency of the company’s organizational structure, sales and marketing system, administrative and financial management, accounting and tax accounting, and legal practice. It provides a comprehensive check of the legitimacy and commercial attractiveness of a proposed transaction or investment project. The completeness of information provided for due diligence allows investors to get a deeper analysis of all benefits and drawbacks of future cooperation.

A proposed transaction is evaluated by analyzing all aspects of the past, present, and projected future of the business to be acquired and identifying potential risks, such as acquisition of a company (shareholding) at an exaggerated cost, loss of property through distraint or enforcement, invalidation of the transaction, tax, administrative, or criminal liability, corporate conflicts, loss of intellectual property, loss of administrative resources, etc.

The analysis is carried out to evaluate the organization of the accounting and financial service, including the structure, its consistency with the company’s business, distribution of job duties, workflow, accounting policy, principles, regulations, accounting software used, etc.

It is carried out to assess the efficiency of all aspects of internal controls: control environment, accounting system, and control procedures.

It includes:

  • description of business processes, understanding of activities of the audited entity, assessment of the overall control environment;
  • assessment of the entity’s risk control system, information system, interaction, storage and exchange of information, provision and monitoring of controls;
  • assessment of internal controls used in business processes and IT controls;
  • assessment of asset integrity controls;
  • assessment of financial statements reliability controls.

The main purpose of audit is to review all or any individual business lines of the company, including the integrity of its property and the efficiency of its use, in order to provide the owners or management with the most complete and reliable information about the business.

It may include the following activities:

  • taking inventory of property and liabilities;
  • reviews to identify the risk of asset withdrawal or profit decline;
  • checking the intended use and integrity of funds;
  • analyzing the HR management system: verifying the justification of bonuses to employees, conformity of the staff with KPI targets;
  • analyzing the logistic system;
  • identifying the risk of potential loss of property rights and bad-faith actions by counterparties;
  • fraud investigation (forensics).

Includes the preparation and audit of information used for corporate social responsibility reporting, making investment decisions, regulating the corporate governance and operations system, including reporting on sustainable development, internal controls environment, corporate governance, implementation of long-term development programs, key performance indicators, etc.

Tatiana Bezus
Tatiana Bezus
Audit Director
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