KPMG overcomes gloomy backdrop with 8% revenues jump

KPMG said the global environment remains in slow-growth mode. Picture: Contributed

KPMG said the global environment remains in slow-growth mode. Picture: Contributed

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Accountancy major KPMG International has booked a solid hike in full-year revenues despite what it described as a “challenging” business environment across Europe, the Middle East and Africa.

Latest results revealed that global turnover topped $25.4 billion (£20bn) in the year to the end of September, up 8 per cent on the year before, led by regional growth in the Americas and Asia Pacific, where revenues were up 9.6 per cent and 9.8 per cent respectively, on a local currency basis.

We continued to prioritise strategic investments in new services and technologies

John Veihmeyer

That compared with 6 per cent revenue growth across Europe, the Middle East and Africa, as well as India, which the Big Four practice said reflected “an improving but challenging environment”.

KPMG did not provide a breakout for its UK performance in its latest worldwide figures, but pointed to its “Global Brexit Centre of Excellence” as an example of new services it was offering to clients “as they prepare for what could be a potentially major shift in global trade”.

READ MORE: KPMG appoints ‘head of Brexit’ to help clients adapt

The firm saw the strongest demand for its advisory and tax services across the business, which delivered revenue growth of 11.5 per cent and 8.8 per cent respectively.

KPMG International chairman John Veihmeyer said: “KPMG’s strong FY16 results, in what remains a slow-growth global environment, are a testament to the passion and innovative thinking we bring to our work. In today’s volatile business climate, our strategic investments in technology, alliances, and our people, are fuelling our growth across our geographies and service lines.”

“We continued to prioritise strategic investments in new services and technologies, focusing on the areas where we see businesses facing the greatest challenge and disruption.

“We have taken a leadership position in key business areas such as cyber security and data and analytics. We are also working closely with a number of the world’s leading technology companies, in alliances that bring together world-class innovation, business expertise and leading edge technology.”

He added: “We are also actively engaging with regulators, tax authorities and other stakeholders, to advance the conversation around some of our industry’s most complex challenges.”

The headcount increased by 8 per cent to reach 189,000 partners and staff this year – the highest number of people ever employed by the firm. The update comes after rival PwC reported a 7 per cent rise in global revenues to $35.9bn.

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