Partner profits plunge at Grant Thornton

Grant Thornton’s chief executive has said the company remains in good shape
despite partners seeing their profits shrink by an average of almost 30% since
the takeover of Robson Rhodes.

Average profit per partner at the UK’s fifth biggest accounting firm by
revenue fell £100,000 to £248,000 in the financial year ended June 30, 2008,
according to Grant Thornton accounts.

The fall in profit reflects added borrowing costs and reduced margins from
the merger that was announced in 2007.

The highest share paid out was £834,534, down 16.5% from £999,986 in 2007.
The 291 partners also took home £21.7m in pay, the Herald in Scotland reported.

Last year, Grant Thornton paid £47m for the less-profitable Robson Rhodes,
and took on £35m of bank loans in the process.

Commenting on the accounts, Scott Barnes, Grant Thornton’s newly elected CEO,
said: “The figures for partner profits largely reflect the one off costs
associated with the merger, including moving many of our 4000 people into new
offices and implementing our new employee benefits package.’

‘These costs are part of Grant Thornton’s long term strategy and put us in a
strong position for future profitable growth.’

He added that the takeover had boosted turnover and strengthened the firm’s
presence in markets including private business, the public sector and larger

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