PwC optimistic after reporting 3% full-year revenue growth
PwC has said it remains optimistic for the year ahead after reporting revenue growth of 3% to £2,689m for the year ended June 30, 2013, up from £2,621m in the previous year.
All four of PwC’s business divisions achieved a good performance. The firm’s Assurance practice, which includes the audit business, grew by 1% to £969m, Tax grew by 3% to £680m, Deals remained constant at £562m, reflecting the relatively flat M&A market, and Consulting grew by 9% to £478m.
Ian Powell, PwC chairman and senior partner, said: “It’s been a strong year as we continue to navigate a clear course to deliver responsible, profitable growth in challenging market conditions. Our performance reflects a balanced portfolio of businesses, the high quality of our client work, and the range and depth of our people’s expertise.”
He added: “PwC is optimistic about the economic outlook and we now expect the UK economy to grow by 1.3% this year followed by 2.3% growth in 2014. Though this may not be strong growth by comparison with pre-financial crisis trends, we believe it reflects a ‘New Normal’ for growth affecting all western economies.”
Mark Smith, regional chairman at PwC in the Midlands, said the region had contributed strongly to the results.
“We continue to strengthen our business locally, particularly by investing in talented people. We have recently promoted five new partners and six new directors and have welcomed four new partners to our regional offices across the Midlands,” he said.
Highlights from the 2013 financial year include:
• 62% of revenue was generated from clients it does not audit (2012: 60%).
• 16% of total revenue was for work performed and billed to clients outside the UK.
• The firm’s total tax contribution to the UK Exchequer, including the contribution of partners, amounted to £960m.
• It recruited around 1,200 students, including more than 100 school leavers. Over 500 additional students joined its paid internship programmes.
• The firm promoted 44 new equity partners, in addition to the 11 recruited externally during the past 12 months.
• Around £20m was invested in developing and delivering formal training programmes, and over 900 students joined professional qualifications training routes.
• It pioneered and offered the first Higher Apprenticeship for the Professional Services industry, and will have more than 200 higher apprentices working for it by the end of next year.
