This paper takes Chinese A share listed companies that implemented new audit reports as the research object and examines how auditors communicate their perceived material misstatement risks in the key audit matter paragraphs from the perspective of corporate fraud. We find that auditors’ perception of fraud affects their disclosure of key audit matters; that is, compared with companies without fraud, auditors disclose more types of key audit matters, more risk topics, and differentiated content in the audit report of fraudulent companies. Further study found that fraudulent companies have higher operating and material misstatement risks, and auditors are more likely to be implicated in legal proceedings. Moreover, we also find that the impact of financial fraud on auditors’ disclosure of key audit matters is more likely to occur when auditors are more experienced or invested more in audit investment.