Does Lotus Technology’s (LOT) Auditor Switch Reveal a Deeper Shift in Governance and Transparency Priorities?

Lotus Technology Inc. has replaced its independent auditor, dismissing KPMG Huazhen LLP and appointing Grant Thornton Zhitong Certified Public Accountants LLP to audit its consolidated financial statements for the fiscal year ended December 31, 2025. This shift in audit oversight is important for investors because it can influence confidence in the company’s financial reporting quality and governance practices. We’ll now explore how this auditor change might influence Lotus Technology’s broader investment narrative, particularly around transparency, controls, and future execution.

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Lotus Technology Investment Narrative Recap

To own Lotus Technology, you need to believe the company can reverse sharp delivery and revenue declines while narrowing heavy losses and stabilizing its balance sheet. The switch from KPMG Huazhen to Grant Thornton appears more about audit oversight continuity than a material shift in the near term, so it does not directly change the main short term catalyst of improving operating performance or the key risk around ongoing losses and funding needs.

The auditor change sits alongside a broader refresh of Lotus Technology’s governance and financial oversight, including the appointment of a new CFO in April 2025 and several new independent directors on key committees. For investors focused on catalysts, this context matters because any progress on transparency and controls will be judged against the backdrop of falling revenue, negative equity, and the ambition to move toward profitability while still reporting substantial net losses.

Yet behind the headline of an auditor change, investors should be aware of the ongoing risk that…

Read the full narrative on Lotus Technology (it’s free!)

Lotus Technology’s narrative projects $4.0 billion revenue and $56.5 million earnings by 2028. This requires 74.9% yearly revenue growth and a $1,015.1 million earnings increase from -$958.6 million today.

Uncover how Lotus Technology’s forecasts yield a $3.00 fair value, a 122% upside to its current price.

Exploring Other PerspectivesLOT 1-Year Stock Price Chart

One Simply Wall St Community member currently values Lotus Technology at US$3 per share, highlighting how concentrated individual views can be. You should weigh that against the company’s steep delivery and revenue declines that may continue to shape expectations for its ability to improve earnings and sustain operations.

Explore another fair value estimate on Lotus Technology – why the stock might be worth over 2x more than the current price!

Build Your Own Lotus Technology Narrative

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This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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