Acquisition, ‘significant’ tax growth boosts KPMG’s figures

Acquisition, ‘significant’ tax growth boosts KPMG’s figures

KPMG Australia’s focus on acquisitions and personnel has seen its FY16-17 revenue grow by 10 per cent, supported also by notable growth in its traditional service lines. 

The big four firm today posted a revenue increase of 10 per cent to $1.5 billion in the 12 months to 30 June this year.

KPMG chief executive Gary Wingrove attributed the growth to their focus on diversity targets, with the firm announcing they had exceeded its gender diversity target for the year with 23.8 per cent of its partners female.

“We’ve employed more than 1,000 new people in the past year. And we’ve worked hard to ensure that they’ve come from diverse backgrounds so we can best offer diversity of experience, thought and solutions to clients,” said Mr Wingrove.

“Gender is one element of diversity… We’re making good progress towards our target of 30 per cent women in partnership by December 2020.”

Acquisitions also played a strong role in driving growth, with KPMG making four acquisitions during the year, including Trace Chartered Accountants, Acuity Research & Insights, 3 Degrees Consulting, and Arrilla.

Traditional services such as audit and assurance also posted strong results, with revenues increasing for the fourth year running, while deals tax, international tax and the tax controversy groups achieved “significant growth” according to a statement released by the firm.

Management consulting also continued to be the firm’s largest and fastest growing business, achieving double digit growth, while deal advisory also delivered double digit growth despite relatively flat market conditions.

In the next 12 months, KPMG has set its targets on expanding its services in line with technological changes, citing client demand and market competition.

“The expansion of our offerings based on our understanding of disruptive technology and its business impacts is a differentiator for us,” said KPMG Australia chairman Peter Nash.

“Clients are increasingly looking for technology to play a pivotal part in the solutions we deliver.

“We continue to expand the firm’s artificial intelligence, machine learning, robotics and cognitive capabilities, helping clients transform all parts of their businesses in unprecedented ways.”

KPMG had recently announced 62 partner admissions for 2017, of which 42 per cent were female, as well as the inclusion of the firm’s first indigenous partner.

KPMG’s report rounds up the big four’s annual results, with EY reporting a 10 per cent increase, PwC announcing a 10.4 per cent growth, and Deloitte announcing a 15 per cent increase to $1.76 billion.

Acquisition, ‘significant’ tax growth boosts KPMG’s figures
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