BEIJING, Dec. 5, 2022
/PRNewswire/ -- Cheetah Mobile Inc. (NYSE: CMCM) ("Cheetah Mobile"
or the "Company"), a leading internet company, today announced the
appointment of Marcum Asia CPAs LLP ("Marcum Asia") as
its independent registered public accounting firm,
effective December 2, 2022. On the same date, the Company
dismissed Ernst & Young Hua Ming LLP ("EY"). The change of the
Company's independent auditor was made after a careful and thorough
evaluation process and has been approved by Cheetah
Mobile's board of directors and the audit committee (the
"Audit Committee").
EY's audit reports on the Company's consolidated financial
statements as of and for the years ended December 31, 2021 and 2020 did not contain any
adverse opinion or disclaimer of opinion, nor were they qualified
or modified as to uncertainty, audit scope, or accounting
principles.
During the audit for fiscal years ended December 31, 2021 and 2020 and the subsequent
interim period through December 2,
2022, there were no (i) disagreements, as defined in Item
16F(a)(1)(iv) of Form 20-F and the related instructions, between
the Company and EY on any matter of accounting principles or
practices, financial statement disclosure, or auditing scope or
procedure, which disagreements, if not resolved to the satisfaction
of EY, would have caused EY to make reference to the subject matter
of the disagreements in connection with its reports on the
consolidated financial statements, or (ii) reportable events as
defined in Item 16F(a)(1)(v) of Form 20-F other than:
a. the material weakness reported in our 2021
annual report on Form 20-F filed with the U.S. Securities and
Exchange of Commission (the "SEC") on July
26, 2022, specifically, the material weakness identified as
of December 31, 2021 was in the
Company's controls over the projected financial information used in
the impairment assessment of an equity investment.
b. the material weakness reported in our 2020
annual report on Form 20-F filed with the SEC on May 14, 2021, specifically, the material weakness
identified as of December 31, 2020
was that the Company did not have a sufficient complement of
resources in the tax department to perform the management review
controls over income taxes.
The Audit Committee discussed the reportable events mentioned
above with EY. EY is authorized to fully respond to the inquiries
of Marcum Asia on the reportable events.
During the Company's two most recent fiscal years ended
December 31, 2021 and 2020 and any
subsequent interim period prior to the engagement of Marcum Asia on
December 2, 2022, neither the Company
nor anyone on its behalf has consulted with Marcum Asia on either
(a) the application of accounting principles to a specified
transaction, either completed or proposed, or the type of audit
opinion that might be rendered on the Company's consolidated
financial statements, and neither a written report nor oral advice
was provided to the Company by Marcum Asia that Marcum Asia
concluded was an important factor considered by the Company in
reaching a decision as to any accounting, auditing or financial
reporting issue, or (b) any matter that was the subject of a
disagreement, as that term is defined in Item 16F(a)(1)(iv) of Form
20-F (and the related instructions thereto) or a reportable event
as set forth in Item 16F(a)(1)(v) of Form 20-F.
The Company is working closely with Marcum Asia and EY to ensure
a seamless transition.
About Cheetah Mobile Inc.
Cheetah Mobile is a leading internet company. It has attracted
hundreds of millions of monthly active users through an array of
internet products such as Clean Master, Security Master and several
casual games. The Company provides advertising services to
advertisers worldwide as well as value-added services including the
sale of premium membership and in-app virtual items to its users.
Cheetah Mobile is also committed to leveraging its cutting-edge
artificial intelligence technologies to power its products and make
the world smarter. It has been listed on the New York Stock
Exchange since May 2014.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements. Statements that are
not historical facts, including statements about Cheetah's beliefs
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement. All information
provided in this press release is as of the date of this
press release, and Cheetah does not undertake any obligation to
update any forward-looking statement, except as required under
applicable law.
Investor Relations Contact
Cheetah Mobile Inc.
Tel: +86 10 6292 7779
Email: ir@cmcm.com
View original
content:https://www.prnewswire.com/news-releases/cheetah-mobile-announces-appointment-of-new-auditor-301694306.html
SOURCE Cheetah Mobile
