CROWN CRAFTS INC Hires Grant Thornton as Independent Auditor; Dismisses KPMG

What Happened

• Crown Crafts, Inc. announced on August 27, 2026 that its Audit Committee approved engaging Grant Thornton LLP as the company’s independent registered public accounting firm for the fiscal year ending March 28, 2027, and approved the dismissal of KPMG LLP as auditor effective August 27, 2026.
• KPMG’s audit reports on the consolidated financial statements for the fiscal years ended March 29, 2026 and March 30, 2025 were unmodified (no adverse opinions or disclaimers). The company disclosed a previously-reported material weakness in internal control over financial reporting related to review and approval of manual journal entries, first reported in the Form 10-K for the year ended March 30, 2025 and remediated as of March 29, 2026.

Key Details

• Engagement/dismissal date: August 27, 2026.
• New auditor: Grant Thornton LLP for fiscal year ending March 28, 2027.
• Prior auditor reports (fiscal 2026 and 2025) contained no modifications or qualifications.
• Material weakness: control deficiency over review/approval of manual journal entries — disclosed June 25, 2025 and remediated as of March 29, 2026 (disclosed in June 24, 2026 Form 10-K).
• KPMG provided a letter dated August 31, 2026 (filed as Exhibit 16.1) and has been authorized to respond to Grant Thornton’s inquiries.

Why It Matters

• A change in independent auditor is material for investors because it affects who examines and attests to the company’s financial statements going forward. The filing shows the transition was approved by the Audit Committee and that KPMG’s prior opinions were unmodified, which supports continuity.
• The disclosed material weakness — and its remediation — is important for confidence in internal controls; the company reports it has been remediated. KPMG’s cooperation and letter further document the transition and that there were no unresolved disagreements reported for the periods covered.