PwC reports record revenue of $53.1 billion in FY 2023
PwC reported record revenue of $53.1 billion in the fiscal year ending June 30, 2023.
The global network of accounting and consulting firms registered revenue growth of 11.8% in local currency, excluding the impact of the sale of its immigration advisory business and its exit from the Russian market.
PwC in the prior year recorded growth of 13.4%. Consulting firms have seen declining demand for services amid an uncertain economic climate and reduced need for transaction support.
PwC’s growth figure lagged those of its Big Four rivals, who released their reports last month. Deloitte had growth of 14.9% to reach $64.9 billion and EY grew 14.2% to reach $49.4 billion.
Bob Moritz, global chair of PwC, said the firm was in the middle of a period of investment that would pay off in the future. The company is currently in the middle of a three-year hiring spree that will add 100,000 people by the middle of 2024, bringing its headcount to over 400,000.
PwC is also spending $2 billion in AI capabilities and completed 17 acquisitions in the last year.
Moritz, who will retire from his role next year, also noted margin pressure from increases in staff pay and clients opting for piecemeal contracts rather than long-term commitments.
US leader Tim Ryan, a frontrunner to succeed Moritz as global chair, recently announced he would not pursue the role.
“As we come up to our 175th anniversary, we continue to invest in the future of our network with strategic acquisitions in key growth areas and a drive to expand our workforce and continue to acquire a broad and diverse range of talent,” Moritz said.
The assurance business had growth of 8.9% to reach $18.7 billion, up from 7.6% in FY 2022. The advisory business grew 13% to $22.6 billion, down significantly from 2022’s growth rate of 23.5%. Finally, tax and legal services grew 12.5% to $11.8 billion, up from 8.7% growth in 2022.
By region, EMEA revenue increased 10.2%, Central and Eastern Europe grew 15.2%, the Americas grew by 10.7%, and Asia-Pacific grew 7.2%.
