E&Y records 16.2% jump in revenue

Ernst & Young (E&Y) today reported a 16.2% jump in its combined worldwide revenue, to $US24.5bn (₤14bn) for the fiscal year ended 30 June, represented year-on-year growth of 9.5% in local currency terms.

The firm said the growth was the result of winning new clients and introducing new services, as well as returns on investment in emerging markets. The growth was in part offset by audit efficiencies under changes in the US internal control standard and the economic downturn in many markets.

The strongest performance was across the Asia-Pacific region, where revenues jumped 34.3%, to $US3.3bn, comprising Japan, where revenue passed the $US1bn mark – up 42.6%; the far east, up 32.3%, to $US1.3bn; and Oceania, up 29%, to $US1bn. The firm’s other two areas also recorded growth – EMEIA up 18.4%, to $US11.4bn and the Americas, up 8.9%, to $US9.8bn.

James Turley, E&Y global chairman and CEO, said the year had been important year for the firm. ‘We brought together 87 national practices across Europe, the Middle East, India and Africa, and 15 national practices across Asia, to create operationally integrated EMEIA and Far East Areas.’

John Ferraro, E&Y global chief operating officer, said emerging markets such as India, China and Russia represented some of the firm’s best growth opportunities. The firm was midway through a four-year program to invest $US1bn, mainly in the emerging markets.