DETERMINANTS OF AUDIT DELAY: THE ROLE OF KEY AUDIT MATTERS, AUDIT COMMITTEE MEETING FREQUENCY, PRIOR-YEAR AUDIT OPINION, AND PUBLIC ACCOUNTING FIRM REPUTATION

Abstract

This study analyzes the effects of key audit matters (KAMs), audit committee meeting frequency, prior-year audit opinion, and public accounting firm reputation on audit delay among public companies listed on the Indonesia Stock Exchange (IDX) during the 2022–2023 period. This study is motivated by the persistence of financial reporting delays despite supervision by the Financial Services Authority (OJK) and inconsistencies in prior research findings. Data were collected from annual reports and audited financial statements using a purposive sampling method and analyzed using Partial Least Squares (PLS) with WarpPLS. The results show that KAMs have a significant effect on audit delay, indicating that greater complexity and a higher number of KAMs extend audit completion time. In contrast, audit committee meeting frequency and public accounting firm reputation have no significant effect on audit delay. Meanwhile, prior-year audit opinion significantly affects audit delay, where companies receiving an unqualified opinion tend to complete audits more quickly due to lower audit risk.