FINANCIAL STATEMENTS INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF ASTON MARTIN LAGONDA GLOBAL HOLDINGS PLC CONTINUED S OVERVIEW OF OUR AUDIT APPROACH TR A Audit scope – We performed an audit of the complete financial information of four components and audit procedures on specific balances for a further TE three components. G I – The components where we performed full or specific audit procedures accounted for 100% of Adjusted EBITDA, 100% of Revenue and C R 100% of Total assets. E P Key audit matters – Revenue recognition, specifically: O R – There is a risk that revenue is overstated due to errors in cut-off, including bill and hold arrangements; and T – There is also a risk of overstatement of revenue through inappropriate manual journal entries – Capitalisation and amortisation of development costs – Impairment of capitalised development costs G – Deferred tax asset valuation O – Parent Company Investment Impairment VE R Materiality – Overall Group materiality of £7.5m which represents 2.5% of Adjusted Earnings before interest, tax, depreciation and amortisation (‘EBITDA’). NAN C AN OVERVIEW OF THE SCOPE OF THE PARENT COMPANY AND GROUP AUDITS E Tailoring the scope Our assessment of audit risk, our evaluation of materiality and our allocation of performance materiality determine our audit scope for each company within F I NAN the Group. Taken together, this enables us to form an opinion on the consolidated financial statements. We take into account size, risk profile, the organisation of the group and effectiveness of group-wide controls, changes in the business environment, the potential impact of climate change and other factors such C as recent Internal audit results when assessing the level of work to be performed at each component. IAL S T In assessing the risk of material misstatement to the Group financial statements, and to ensure we had adequate quantitative coverage of significant accounts A T in the financial statements, of the 8 reporting components of the Group, we selected 7 components covering entities within the UK, Europe, USA, Japan and E M China, which represent the principal business units within the Group. E N T S Of the 7 components selected, we performed an audit of the complete financial information of four components (“full scope components”) which were selected based on their size or risk characteristics. For the remaining three components (“specific scope components”), we performed audit procedures on specific accounts within that component that we considered had the potential for the greatest impact on the significant accounts in the financial statements F U either because of the size of these accounts or their risk profile. R T H E R The reporting components where we performed audit procedures accounted for 100% (2022: 100%) of the Group’s Adjusted EBITDA, 100% (2022: 100%) of INF the Group’s Revenue and 100% (2022: 100%) of the Group’s Total assets. For the current year, the full scope components contributed 98% (2022: 98%) of the Group’s Adjusted EBITDA, 96% (2022: 97%) of the Group’s Revenue and 98% (2022: 98%) of the Group’s Total assets. The specific scope component OR contributed 2% (2022: 2%) of the Group’s Adjusted EBITDA, 4% (2022: 3%) of the Group’s Revenue and 2% (2022: 2%) of the Group’s Total assets. The audit M A scope of these components may not have included testing of all significant accounts of the component but will have contributed to the coverage of significant T I accounts tested for the Group. ON Of the remaining one components that together represent 0% of the Group’s Adjusted EBITDA, we performed other procedures, including analytical review to respond to any potential risks of material misstatement to the Group financial statements. The charts below illustrate the coverage obtained from the work performed by our audit teams. ADJUSTED EBITDA REVENUE TOTAL ASSETS 98% Full scope components 96% Full scope components 98% Full scope components 2% Specific scope components 4% Specific scope components 2% Specific scope components ASTON MARTIN LAGONDA ANNUAL REPORT AND ACCOUNTS 2023 134