PwC bucks market trend, annual report shows

PWC HAS bucked the market trend and grown its turnover by 6% in the last year.

Turnover at the Big Four firm grew to £2.46bn for the year ended 30 June 2011, up from £2.33bn for the previous year.

Profits for the financial year increased 2% to £656m from £642m. However, profit available for division among members remained static at £622m.

Revenues from its audit division grew 6% to £909m with advisory increasing 8% to £907m.

The firm had 81 new partners, 49 from promotions and 32 externally. This move bolstered partner profits to an average of £763,000 per partner from £759,000.

Chairman and senior partner PwC Ian Powell (pictured) will take home around £3.7m – up from the £3.6m he received a year ago.

Powell said: “I am pleased to report turnover growth of 6%, a strong performance in a period of volatile financial markets, fragile economic confidence and the tightening of public expenditure.

“We continued to stay close to our clients and to invest in the future of our business. These investments included the recruitment of 3,200 people, 81 new partners, opening a new and environmentally leading London office and the acquisition of the Diamond consulting business.

PwC also took on 100 A-level students, with Powell claiming he wanted diversity in the firm. With the rising cost of university fees, he did not want to exclude a huge talent pool of students that have decided not to obtain a degree, he explained.

Other diversity changes include the recruitment of two women onto the board, following the Davis recommendations to have a 25% female presence on all boards in the next ten years. Powell also stressed the firm has implemented a programme to help women progress up the corporate ladder.

Powell told Accountancy Age the firm’s pension plans was likely to be reviewed in 2012, in line with the firm’s policy to fully evaluate pensions every three years.

PwC continues to be audited by Crowe Clark Whitehill.

Powell confirmed PwC is hoping to continue investing in services such as; consulting, tax and advisory including environmental advice. In the last year it has won large audits such as insurance provider Aviva, TUI and IG Holdings.

This is the first year that collectively staff have given up 50,000 hours to charity work, up from 42,500.


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