Armada Hoffler Properties to appoint KPMG as auditor, replacing Ernst & Young

Published 24/06/2025, 22:00
Armada Hoffler Properties to appoint KPMG as auditor, replacing Ernst & Young

Armada Hoffler Properties, Inc. (NYSE:AHH) announced that its Audit Committee has approved the appointment of KPMG LLP as the company’s independent registered public accounting firm for the fiscal year ending December 31, 2026. The appointment will become effective immediately following the filing of Armada Hoffler’s Annual Report on Form 10-K for the fiscal year ending December 31, 2025.

At the same time, the Audit Committee approved the dismissal of Ernst & Young LLP (EY) as the company’s independent registered public accounting firm, also effective after the 2025 annual report is filed. EY will continue to serve as the auditor until that time.

According to the company’s statement, EY’s audit reports on Armada Hoffler’s financial statements for the years ended December 31, 2024 and 2023 did not contain any adverse opinions or disclaimers, and were not qualified or modified as to uncertainty, audit scope, or accounting principles. The company also reported that there were no disagreements with EY on matters related to accounting principles, financial statement disclosure, or auditing procedures during the fiscal years 2024 and 2023, or the subsequent interim period prior to the approval of the change.

Armada Hoffler stated that there were no “reportable events” as defined by applicable SEC regulations during the relevant periods. The company did not consult with KPMG on any matters described in Items 304(a)(2)(i) or (ii) of Regulation S-K during the fiscal years 2024 and 2023 or the interim period prior to KPMG’s appointment.

The company has provided EY with a copy of the current report and requested that EY furnish a letter to the Securities and Exchange Commission stating whether it agrees with the disclosures. EY’s letter, dated Tuesday, is included as an exhibit to the filing.

This information is based on a press release statement included in Armada Hoffler Properties’ SEC filing.

In other recent news, Armada Hoffler reported its financial results for the first quarter of 2025, missing both earnings per share (EPS) and revenue expectations. The company posted an EPS of -$0.07, falling short of the anticipated $0.01, while revenue came in at $63.8 million, below the forecasted $66.03 million. Despite this, Armada Hoffler reaffirmed its full-year 2025 normalized funds from operations (FFO) guidance of $1.00 to $1.10 per diluted share. The company maintained high occupancy rates, with office spaces at 97.5% occupancy and an overall portfolio occupancy above 95%. Additionally, Armada Hoffler declared a regular quarterly cash dividend of $0.14 per common share and a preferred stock dividend payable in July 2025. In governance news, Eva Hardy, lead independent director, announced her retirement from the Board of Directors, aligning with the company’s mandatory retirement age policy. Armada Hoffler’s management emphasized their focus on strategic execution and financial discipline amid ongoing market challenges.

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