PricewaterhouseCoopers Launches its 2005 Global Annual Review
2005 Revenues Reach a Record US$20.3 Billion
Assurance, Tax and Advisory Services All Show Significant Gains
2 November 2005 Press release
PricewaterhouseCoopers released its 2005 Global Annual Review, “Perspectives on Value,” which provides insights on key issues facing the accounting profession and also reports on the overall performance of the PricewaterhouseCoopers network for the year ended 30 June 2005, with global revenues up nearly 17 percent over the previous year.
“Fiscal 2005 was a year of vibrant growth and real achievement,” said Global CEO Samuel A. DiPiazza, Jr. “PricewaterhouseCoopers aggregate revenue increase was driven by increased demand for our services, by new regulatory requirements in a number of major capital markets and by a favourable global economic climate. The continuing expansion of emerging economies in Asia and South America also fuelled overall growth."
Mr. DiPiazza continued, "Equally important, it was a year in which we made significant progress in improving quality, in realigning our businesses to reflect the new regulatory landscape, and in implementing programmes around the world that make PricewaterhouseCoopers an attractive organisation for launching and building a career."
In the Review, Mr. DiPiazza offers his perspectives on the future priorities and direction of the PricewaterhouseCoopers global network and on the pressing issues facing the profession. He notes that new regulatory requirements, particularly in the US and Europe, have led to clear improvements in financial reporting and will help prevent a recurrence of the recent spate of corporate scandals. But, while the new regulatory environment is helping to restore public trust in the capital markets, the bar for audit quality must be set higher to create sustainable value for stakeholders.
Mr. DiPiazza said he expects that the market for assurance, tax and advisory services will remain highly competitive. The sustainability of the profession, he added, will depend on delivering value that is recognized by clients and key stakeholders. Providing advisory services will remain a critical ingredient in attracting and retaining talented people and in maintaining a dynamic and sustainable profession.
“Good progress has been made in enhancing the quality and the oversight of the auditing function and in driving wider improvements in transparency and corporate governance, all of which should help to increase public trust and value creation. However, we still have much to do to ensure that the profession remains sustainable.”
The Review also offers insight into PricewaterhouseCoopers' worldwide investments in markets and people over the past 12 months and describes how these investments have strengthened the connections across the PricewaterhouseCoopers global network to build trust and enhance value. Examples include:
- In fiscal 2005, PricewaterhouseCoopers firms hired over 13,000 graduates and 10,000 experienced professionals.
- PricewaterhouseCoopers continues to play a leading role in the development and promotion of XBRL, a technology that enables organisations to quickly and simply access and exchange information across different systems.
- In fiscal 2005, 17,000 people were trained in two new US Public Company Accounting Oversight Board standards.
- Following the Indian Ocean tsunami, PricewaterhouseCoopers donated 8,000 hours of advisory services to assist the United Nation's Tsunami Flash Appeal.
- In a 2005 survey, 82 percent of PricewaterhouseCoopers people said they would recommend their firm as a good place to work.
The
Review reports that gross aggregate revenues for PricewaterhouseCoopers firms in fiscal 2005 were USD20.3 billion, an increase of nearly 17 percent as expressed in US dollars and more than 12 percent in local currencies. Excluding expenses reimbursed by clients, net aggregate revenues were USD19 billion. Overall, PricewaterhouseCoopers firms achieved double-digit growth in each major client segment - top-tier audit clients, non-audit clients and private companies/middle market - and in every industry sector.
“We are planning for further growth, but with appropriate caution," said Mr. DiPiazza. “We will continue to grow at a responsible rate, consistent with our absolute commitment to quality and to selectivity. We believe that this is the best way to create sustainable value for all our stakeholders.”
Notes to Editors:
For more information on PricewaterhouseCoopers’ 2005 Global Annual Review please visit www.pwc.com/review
PricewaterhouseCoopers (www.pwc.com) provides industry-focused assurance, tax and advisory services for public and private clients. More than 130,000 people in 148 countries connect their thinking, experience and solutions to build public trust and enhance value for clients and their stakeholders.
“PricewaterhouseCoopers” refers to the network of member firms of PricewaterhouseCoopers International Limited, each of which is a separate and independent legal entity.
