LONDON, December 13, 2018 /PRNewswire/ --
Growth driven by investments in quality, technology, innovative services, alliances,
and record number of new recruits
KPMG International today announced record aggregated network revenues of US$29 billion for the fiscal year ending 30 September 2018 (FY18), representing a 7.1% increase in local currency terms on FY17.
- Record high revenues for FY18 of US$28.96 billion, up from $26.40 billion in FY17 - Revenue growth for FY18 of 7.1% (in local currencies), up from 4.8% in FY17 - Advisory growing at 9.9%, the fastest growing of KPMG's three functions. Audit and Tax services also increasing their growth compared to FY17 - Consistently strong growth across each of KPMG's five industry sectors - Accelerated investment in a multi-year program focused on driving quality, innovation, new technology, developing new client services and solutions, strengthening alliances with many of the world's leading technology companies - More than 55,000 new hires, including 39,000 new graduates and other entry level professionals, with almost 10,000 new jobs created, taking the global workforce to a record-high of 207,000 people - KPMG network continues to focus on building an inclusive and diverse culture, increasing female diversity among our leadership ranks to 24% of Partners and Directors, while broadly maintaining gender parity across our total workforce - KPMG people continue to make contributing to their communities a priority, with more than 500,000 hours of volunteering in the past twelve months, including approximately 100,000 hours of pro-bono professional services
"We are making record investments in our business to help clients capitalize on the unprecedented transformation they are going through," said Bill Thomas, Chairman, KPMG International.
"We are committed to continuously improving the quality of every service we provide, recognizing the vital role we perform for clients and capital markets."
KPMG firms grew across all three geographic regions:
- Americas revenues grew 6.2% in FY18, up from 4.4% in FY17 - Asia Pacific delivered strong growth with revenues increasing 8.7% in FY18, an increase on the 8.1% recorded in FY17 - Europe, Middle East and Africa (EMA, including India) revenues increased 7.3% in FY18, up from 4.0% in FY17
Investing for future growth
"KPMG is continuing with a multi-year global investment program, investing more than US$4 billion in innovative new services, technology, and acquisitions over the next four years. This investment program is focused on transformative technologies, such as artificial intelligence and intelligent automation, cyber security, and our intelligent audit and tax platforms," said Bill Thomas. "Just as we are working with our clients around the world to transform their businesses, we're also harnessing the power of digital transformation to drive our growth and raise the level of efficiency, innovation and quality."
In 2018, KPMG was recognized in more than 25 rankings by industry analysts as a market leader, in areas including Business Analytics Services [https://www.gartner.com/doc/3863667?ref=... ] , Talent and Leadership consulting services [https://home.kpmg.com/xx/en/home/media/press-releases/2018/1... ] and as an Insight Service Provider [https://home.kpmg.com/us/en/home/media/press-releases/2018/1... ] .
Growth in business lines - Audit, Tax and Advisory
Audit
Audit revenues for the year grew globally by 4.8% to US$11.15 billion, up from US$10.39 billion and 3.1% growth in the year prior. The 5.7% Audit growth in EMA was our strongest this decade.
KPMG firms continued to win a number of significant audit appointments, particularly in Europe, where the impact of the second full year of EU audit reforms continues to drive increased movement of audit engagements.
"Audit quality remains our absolute priority, and we continue to invest in our smart audit platform - KPMG Clara - as well as our methodology and, most importantly, our people. KPMG Clara helps drive quality and consistency while integrating powerful technologies, including artificial intelligence and predictive analytics, to deliver real-time insights with information arising from the audit process and communication with the audit team," said Bill O'Mara, Global Head of Audit, KPMG International.
Tax
Tax revenues grew 6.3% in FY18 to US$6.34 billion up from 5.9% growth in FY17, driven by strong demand for Tax Compliance services and further enhanced by Domestic and International Tax Advisory Services. Also performing strongly were Transfer Pricing and VAT & Sales Tax Advisory.
"Tax has risen to the top of the Board agenda, and we are helping tax functions within our clients transform rapidly to meet this increased strategic focus for their business, harnessing the advancements in technology, particularly in data and analytics," said Jane McCormick, Global Head of Tax, KPMG International.
Advisory
Advisory, as the fastest growing function, grew its revenues by 9.9% in FY18 to US$11.47 billion a strong increase from the 6.0% growth in FY17. This included the 4th year of double digit advisory growth in Asia Pacific. Exceptionally strong consulting growth supporting our clients' highest priorities, including transformative business solutions and cyber-security; double-digit growth across Deal Advisory, driven by exceptional Transaction Services growth; and continued high demand for Accounting Advisory Services.
"Every client we work with is focused on transforming part or all of their business. We start with a conversation about a business challenge they are facing and quickly move to how we can help with their digital transformation journey. We are incredibly well placed to bring together deep business expertise with leading edge technology solutions that deliver real business value. The speed at which we develop solutions and get them to market has increased dramatically over the past couple of years," said Mark A. Goodburn, Global Head of Advisory, KPMG International.
A workforce of extraordinary talent
"KPMG is a leading choice for talent across the world, with more than 39,000 new graduates and other entry level professionals joining KPMG over the past year. We added 10,000 new jobs over the past year and KPMG's total workforce grew by 5.0% to 207,000 people, the highest number ever employed across the network," said Susan Ferrier, Global Head of People, KPMG International. "I believe our focus on creating a dynamic, inclusive work environment is reflected in our rise to be a top 5 rated organization on Universum's 2018 World's Most Attractive Employer ranking for leading business students."
(CONTINUA)
