String of new contract wins helps PwC to increase both revenues and growth

By GARETH MACKIE
Published on 17/09/2012 00:00

Revenues at accounting giant PwC accelerated last year as the firm picked up work on a range of high-profile mergers and acquisitions and won new audit contracts, though the profits paid to each partner fell by 4 per cent.

PwC, one of the “big four” audit firms, posted a 7 per cent increase in UK revenues to £2.6 billion for the year to 30 June, up from the 6 per cent growth it recorded for the previous year.

Average profit per partner rose to £798,000, up from £763,000 the previous year, although once payments to retired partners and other adjustments were taken into account, the actual profits distributed fell to an average of £679,000, from £707,000 in 2011.

New audit deals from the likes of insurance giant Aviva, oil firm Genel Energy and chemicals group Yule Catto pushed revenues at its assurance practice up 6 per cent to £963m.

Its deals practice, which advised on a raft of transactions including the £414 million takeover of Nautical Petroleum by Edinburgh-based oil and gas firm Cairn Energy, delivered an 8 per cent jump in revenues to £561m. The firm was also involved in last year’s £250m acquisition of Aberdeen oil services group Asco by private equity firm Doughty Hanson and the £750m sale of Jim McColl’s ClydeUnion Pumps to SPX.

Reflecting the continued strength of Scotland’s oil and gas sector, PwC said it had grown its headcount in Aberdeen by almost 10 per cent, including four senior appointments, and had taken on more than 70 graduates across the country.

Lindsay Gardiner, regional leader of Pwc in Scotland, said: “Over the last year, economic and market conditions have certainly remained challenging for businesses in Scotland and across the UK. However, I believe this bold approach has enabled our Scottish practice to deliver a strong performance.”