EY helps clients create long-term value for all stakeholders. Enabled by data and technology, our services and solutions provide trust through assurance and help clients transform, grow and operate.
At EY, our purpose is building a better working world. The insights and services we provide help to create long-term value for clients, people and society, and to build trust in the capital markets.
CFOs face the challenge of aligning their strategies with the concerns of audit committees, focusing on risk, talent and technology.
In brief
CFOs should stay informed about audit committee concerns, particularly regarding the complexities of the current business and risk environment.
Talent management in areas such as AI and cybersecurity is a key focus for audit committees.
Audit committees are increasingly scrutinizing technology adoption and cybersecurity risks, requiring CFOs to demonstrate value from AI investments.
In their strategic relationship with audit committees, it’s vital for CFOs to stay abreast of audit committee concerns and consider how to address them. Based on EY analysis of market trends, here’s a brief guide to what’s likely to be top of mind for audit committees heading into 2026.
The increased complexity of the business and risk environment continues to be top of mind. Geopolitical, macroeconomic and trade uncertainty is raising concerns about the risk of economic headwinds. Contributing factors include tariff-related cost increases, persistent policy uncertainty and curtailed immigration. Mixed signals regarding the economic outlook may also stress the organization’s ability to generate capital for critical investments. CFOs should be prepared for questions about the impact of these factors on the company’s financial health, as well as their implications for financial reporting and related controls and disclosures.
Audit committees are also evaluating finance and internal audit talent. Talent-related risks continue to persist — in particular, hiring and upskilling talent in areas such as artificial intelligence (AI), tech, cybersecurity and data‑related fields. Audit committees may inquire about the appropriateness of resource allocation to finance and internal audit functions so that appropriate investments can be made in long-term system and process improvements.
Audit committees continue to scrutinize challenges around technology adoption and cybersecurity-related risks. Some may have been tasked with AI oversight, implying that they will keep a close eye on the ROI from AI investments, as well as risks and opportunities associated with AI. CFOs should be prepared to discuss the company’s progress in driving value from AI, as well as their thinking around budget allocations to data governance, cybersecurity, and regulatory- and compliance-related matters.
Specific questions the audit committee could ask include:
Does the organization perform stress tests to confirm that its financial reserves can absorb distress in the economy?
Does the organization have confidence in the financial strength of its counterparties?
What steps is the organization taking to adapt its supply chain footprint and operating model in response to possible geopolitical disruptions?
How is enacted policy and related policy uncertainty expected to impact the financial statements for the current and upcoming reporting periods?
Have there been any material changes to internal controls over financial reporting or disclosure controls and procedures to address the changing operating environment?
Has management fully assessed, and accounted for, the implications of the One Big Beautiful Bill Act, including the extensions of many of the provisions of the Tax Cuts and Jobs Act?
How is the organization leveraging the extended provisions to optimize its tax position? Are there any specific provisions that are particularly beneficial or worrisome to our business?
How is management thinking about AI-related risks and opportunities, and what role do you see for the board in overseeing these areas? Are there any gaps in expertise or committee structures that could impact effective oversight?
What opportunities do the current market changes and discontinuities offer for our business? What is our plan to capitalize on those?
As CFOs navigate their strategic relationship with audit committees, it is crucial to understand and address the concerns that are likely to dominate discussions as they approach 2026.
