EY reports fastest global growth in five years
Big Four accountants post 7.7% increase in global revenues to $25.8bn
EY yesterday reported its fastest rate of growth in five years as global sales increased 7.7% to $25.8bn (£16.2bn).
The Big Four firm reported its third year of double-digit growth for advisory services, with revenues up 18% to £5.8bn, while it saw increased demand for investigation and financial accounting advisory services, which grew by 23% and 30% respectively.
Assurance, the firm’s largest practice, increased revenues by 4% to $10.9bn, with audit up by 2.4%. Transaction advisory services improved by 3% $2.2bn, despite depressed global M&A activity in virtually every market, EY said.
Americas revenues were up by 10.4% with strong growth in both North and South America, including 10% growth in the US and 24% growth in Brazil. Europe, Middle East, India and Africa posted growth of 7%, with strong individual performances from emerging markets such as Turkey (19%), India (17%), the Middle East (13%) and Africa (11%) but also in developed countries such as Italy (9%) and Germany (8%).
Overall our emerging markets practices had a combined revenue growth of 12%.
“Our leading growth across many emerging markets is tied to the investments that we have made in our practices in these countries over the past decade – investments that we will increase in future years,” said John Ferraro, EY’s global chief operating officer.
As well investing in emerging markets, Mark Weinberger, EY’s global chairman and CEO said the firm has also made investments in the services it provides to clients as part a new long-term strategy that was launched earlier this year.
“Over the next three years we will spend $400m on improving our audit methodologies and tools to continue to enhance audit quality,” Weinberger said.
