EY, KPMG, and Deloitte Lead India's Audit Market in FY26

The Indian corporate audit landscape remains heavily consolidated, with global giants dominating the oversight of listed entities. Recent data from Prime Infobase reveals that while the Big Four lead in sheer volume, a shift in market capitalisation share and auditor turnover provides a deeper look into the evolving regulatory environment.

Big Four Dominate by Audit Volume

In the financial year 2025-26 (FY26), EY Group maintained its leadership position in the audit sector, managing the accounts of 187 companies—a 3% increase from 182 in FY25. KPMG Group showed the most significant momentum among the top tier, recording an 11% volume growth to audit 157 companies. Deloitte Group secured the third spot with 131 companies, a slight dip from 137 in the previous fiscal year.

Other notable players in the top 10 include GT Group (125), BDO Group (97), and PWC Group (82). While the larger firms hold the majority of the market, CNK & Associates LLP emerged as a high-growth disruptor, recording a massive 41% jump to audit 24 companies in FY26.

Market Capitalisation: The Scale of Oversight

While volume tracks the number of clients, market capitalisation highlights the massive financial responsibility handled by these firms. In this metric, KPMG Group took the lead, auditing companies that represent 15.67% (₹71,14,060 crore) of the total market capitalisation. EY Group followed closely with a 15.35% share (₹69,73,130 crore), and Deloitte Group captured 13.94% (₹63,31,111 crore).

Combined, these three firms command nearly 45% of the total market capitalisation of the audited entities. The "Big Six" institutional groups hold a collective 61% share, while the global "Big Four" collectively account for 51% of the entire market capitalisation of listed companies in the report.

The report also highlights significant shifts in auditor stability and structural trends. The number of companies utilizing joint audits saw a minor contraction, falling to 164 (7% of 2,436 listed companies) from 170 (8%) in FY25. Of these joint audits, 119 were in the private sector, while 45 involved Public Sector Undertakings (PSUs) or Public Sector Banks (PSBs).

Concerns regarding auditor stability are evident in the rise of mid-term cessations. There were 71 instances of resignations or terminations across 68 companies in FY26, an increase from 58 instances in FY25. Furthermore, 22 auditors resigned after completing their FY26 assignments despite having remaining years in their designated tenures. Looking ahead to FY27, the industry faces a massive transition period, with the tenures of 1,030 auditors across 997 companies scheduled to expire.

Key Takeaways

  • Consolidation remains high: The Big Four control over 50% of the total market capitalisation of audited listed companies in India.
  • KPMG leads in value: While EY leads in the number of companies audited, KPMG Group holds the largest share of market capitalisation at ₹71.14 lakh crore.
  • Rising volatility: Mid-term auditor cessations increased from 58 to 71 instances year-on-year, signaling a period of transition in corporate governance.