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Figures released on Tuesday showed that KPMG has closed the gap with its bigger rivals over the past year, with the biggest revenue growth of the big four accounting and consulting firms.
The company posted global revenue of $38.4 billion for the 12 months ended September 30, an increase of 5.4% from a year ago. Excluding the impact of exchange rate fluctuations, the increase rate was 5.1%.
This outpaced the growth of Deloitte, EY and PwC, with each of KPMG’s three main business units posting top- or near-top growth rates. The strong sales growth has narrowed the gap that had widened in recent years between KPMG and the other three companies.
Since the end of the pandemic, both companies’ advisory businesses have been constrained by weak demand for technology services and a lack of mergers and acquisitions work.
But the less economically sensitive audit business performed well, with KPMG’s revenue up 6.2% to $13.4 billion and tax advice. KPMG’s global tax and legal services business grew 9.6% to $8.7 billion.
Bill Thomas, KPMG’s global chief executive officer, said the growth reflects investments the firm has made in fast-growing business areas such as technology and training, artificial intelligence and environmental, social and governance (ESG) activities. He said there was. A year ago, KPMG extended Thomas’ leadership term by 12 months, until September 2026, in order to complete a three-year investment program.
“Our commitment to a multidisciplinary model has also fostered greater synergies, growth and cross-border collaboration across our network,” he said.
Headline growth rates masked large differences in different regions of the world. In the Asia-Pacific region, where professional services firms are struggling due to China’s economic slowdown and Australia’s political backlash against the Big Four, KPMG’s local currency growth rate was just 0.5%. It also reduced headcount in the region by 2% in the year to September.
Sales in the Americas, the largest region, rose 4.2% to $15.2 billion, but the company’s revenue in the Americas, the largest region, rose 4.2% to $15.2 billion, due to factors such as more cautious hiring, more rigorous performance evaluation of existing staff, and some layoffs in some parts of the advisory business. The company also reduced its workforce in the region. We worked to protect the interests of our partners.
