Governance

Audit

First line

The first line consists of the managers and employees of “EPSO-G” who identify and manage operational risks in their daily activities.

The second line is ensured by the functions of the “EPSO-G” group, which are responsible for anticipating risks:

  • the financial control function is responsible for the ongoing control of the group’s financial results;
  • the risk management function is responsible for coordinating and improving the group’s risk management system. This function summarizes the main risk areas of all group companies and coordinates the implementation of their management actions;
  • the compliance management function is responsible for coordinating and improving the group’s compliance management system. This function helps ensure compliance in priority areas where violations could have the greatest impact on the respective group companies.

The third line is responsible for providing the Board and management with independent, risk-based and objective assurance, advice, insights and forecasts on the effectiveness of the organisation’s governance, risk management and internal control processes.

The centralized internal audit division provides oversight functions to the Board and the Audit Committee, assessing whether the first two lines are performing their functions properly.

“EPSO-G” companies’ annual financial statements are audited by independent external audit firms in accordance with the law. External audit firms are selected by the general meetings of shareholders of the Group companies.

Internal audit

Since 2017, a centralised internal audit function has been operating across the EPSO-G Group. This model ensures consistent implementation of audit activities throughout the Group, rational use of resources and expertise, and the application of uniform audit principles.

The EPSO-G Group Internal Audit Unit reports directly to and is accountable to the EPSO-G Board, the majority of whose members are independent. The effectiveness of internal audit activities is overseen by the Audit Committee, and this governance structure helps ensure the independence and objectivity of internal audit.

The objective of EPSO-G internal audit is to strengthen the ability of Group companies to create, protect and sustain value by providing the Board, management and other stakeholders with independent, risk-based and objective assurance, advice, insights and forecasts. This objective is achieved by systematically assessing and promoting improvements in the organisation’s governance, risk management and internal control processes.

Internal Audit conducts its activities in accordance with the Global Internal Audit Standards of the Institute of Internal Auditors (IIA), thereby contributing to effective, transparent and responsible governance of the Group.

External audit

The annual financial statements of EPSO-G Group companies are audited by independent external audit firms in accordance with applicable legislation. External audit firms are selected by the general meetings of shareholders of the Group companies.

In 2026, Amber Grid, a company of the EPSO-G Group, conducted a joint public procurement procedure for the provision of financial statement audit services to the Group companies for 2026–2028 through a negotiated tender procedure. Following the public procurement procedure, the bid submitted by KPMG Baltics, UAB was selected as the winning bid.

Having assessed the results of the audit firm selection procedure, the EPSO-G Audit Committee decided to recommend that the boards of the Group companies propose to their respective general meetings of shareholders that KPMG Baltics, UAB be elected as the audit firm for the audit of the 2026–2028 financial statements, at the audit service fee specified in the audit firm’s bid.

The general meetings of shareholders of the Group companies resolved to elect KPMG Baltics, UAB as the audit firm for the audit of the 2026–2028 financial statements and to set the annual fee for the audit of financial and related statements at the amount specified in the audit firm’s bid.

Information about the external audit firms of "EPSO-G" group companies and their audit service fees

2025

“PricewaterhouseCoopers” provided non-audit services to the “EPSO-G” group companies for 75,746 Eur in 2025, and 64,950 Eur in 2024. Non-audit services included assurance services for financial indicators for banks, actual observations of sustainable performance indicators, and verification services for regulated activity reports. The services were procured in accordance with the provisions of the “EPSO-G” group companies’ policy on the procurement of non-audit services from audit firms or any network to which the auditing firm belongs.