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Risk Profile Improvements

  • Material Weakness (improved) — The filing discloses a material weakness in internal controls over manual journal entries that was first reported in FY2025 and remediated as of March 29, 2026.
NASDAQ: CRWS CROWN CRAFTS INC 8-K

Crown Crafts replaces KPMG with Grant Thornton as auditor after competitive process

Filed August 31, 2026 · Period ending August 27, 2026 · ~1 min read

4 key changes 1 risk improvement

Key Changes

  • medium

    Audit Committee approved Grant Thornton as independent auditor for fiscal 2027 and dismissed KPMG effective August 27, 2026, following a competitive proposal process.

  • medium

    KPMG's audit reports for fiscal 2026 and 2025 were clean, with no adverse opinions, disclaimers, or qualifications.

  • medium

    No disagreements with KPMG on accounting principles, financial statement disclosure, or audit scope; the only reportable event was a material weakness in internal controls over manual journal entries, remediated as of March 29, 2026.

  • low

    Company did not consult Grant Thornton on any accounting or auditing matters before the engagement.

Summary

Crown Crafts has replaced its independent auditor, dismissing KPMG and engaging Grant Thornton for the fiscal year ending March 28, 2027. The change follows a competitive proposal process and is effective August 27, 2026. KPMG's audit reports for the prior two fiscal years were clean, with no adverse opinions or qualifications, and there were no disagreements on accounting principles or audit scope.

The only reportable event was a material weakness in internal controls over manual journal entries, first reported in fiscal 2025 and remediated as of March 29, 2026. This weakness is now resolved, and the company did not consult Grant Thornton on any accounting or auditing matters before the engagement. For retail investors, the auditor change appears routine, but the prior material weakness—though remediated—is a point of historical concern that underscores the importance of ongoing internal control oversight.

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Figures/quotes linked to EDGAR · Narrative written by AI · Sep 1, 2026 · How we verify