-- Strong Growth in all regions -- particularly in emerging markets -- Advisory business up by nearly 20% -- Global workforce tops 140,000
NEW YORK, November 2, 2006 (PRIMEZONE) -- PricewaterhouseCoopers today announced that gross worldwide revenues of its network of firms grew by 11 percent, at constant exchange rates, to US$22 billion in the fiscal year ended 30 June 2006.
The revenue figures were released together with PricewaterhouseCoopers' 2006 Global Annual Review, which provides insight into the performance, operation and scope of the PricewaterhouseCoopers' worldwide network over the past year.
"Revenues for the PricewaterhouseCoopers international network were particularly strong in 2006," said Global CEO Samuel A. DiPiazza, Jr. "We saw healthy growth across the globe, driven by the strength of our brand and services, buoyant economic conditions and the hard work and commitment of our 140,000 strong PricewaterhouseCoopers team."
"Our strategy of regionalisation and market segmentation drove our growth in 2006 and will continue to do so in 2007," said Mr. DiPiazza. "Our challenge for the future is to continue to invest in building a sustainable enterprise that has its foundations in quality people, quality clients, quality service and quality advice."
The PricewaterhouseCoopers network performed well in all major geographic markets in FY2006. Developing markets continued to grow particularly strongly with revenue increasing by 26.4 percent in Central and Eastern Europe, 22.7 percent in South and Central America and 16.8 percent in the Middle East and Africa. Revenues from North America and The Caribbean were up 12.1 percent and in Asia, revenues increased 11.9 percent.
Western Europe and Australia and the Pacific Islands also continued to perform well with revenues up 8.8 percent and 9.6 percent respectively.
For the second consecutive year, most large PricewaterhouseCoopers firms achieved double-digit revenue growth. Revenue growth was strongest in China, Russia and other developing markets. Continued strong economic conditions around the world helped drive robust work for non-audit clients and in transaction-related services during FY 2006.
Advisory was the fastest growing service line, with 19.7 per cent growth reflecting the successful implementation of a co-ordinated market strategy around the world and an increased focus on priority clients. Tax also performed very strongly with 12.1 percent growth resulting primarily from a heightened emphasis on providing services to non-audit clients.
PricewaterhouseCoopers Assurance continues to place its main focus on quality and, despite a levelling off in demand for Sarbanes-Oxley related services, reported year-on-year revenue growth of 7.8 percent.
In the 2006 Global Annual Review, Mr. DiPiazza notes that the accounting profession must maintain its relevance to investors beyond regulatory compliance by facilitating effective functioning of capital markets worldwide.
"Our profession must work to converge global accounting standards and develop more relevant financial reporting models that provide the world's investors with valuable insights. In this way, we will increase our value to clients and the public," he said.
Note to editors:
A copy of the PricewaterhouseCoopers 2006 Global Annual Review can be downloaded at www.pwc.com/annualreview. The Review contains a detailed breakdown of the results for FY2006 and a range of facts and figures about the PricewaterhouseCoopers worldwide organisation.
The review also features the comments of PricewaterhouseCoopers' Global CEO Samuel A. DiPiazza Jr. on key challenges facing the accountancy profession and examples of how the firms of the PricewaterhouseCoopers network work with their clients and how PricewaterhouseCoopers people around the world connect together on behalf of clients and the wider community.
PricewaterhouseCoopers (www.pwc.com) provides industry-focused assurance, tax and advisory services to build public trust and enhance value for its clients and their stakeholders. More than 140,000 people in 149 countries across our network share their thinking, experience and solutions to develop fresh perspectives and practical advice.
"PricewaterhouseCoopers" refers to the network of member firms of PricewaterhouseCoopers International Limited, each of which is a separate and independent legal entity.
(c)2006 PricewaterhouseCoopers. All rights reserved.
Note to Editors: See full 2006 revenue breakdown, by service line and geography, in following charts.
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Aggregated Revenues of PricewaterhouseCoopers
Firms by Service Line (USD millions)
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FY06 FY05 % change % change
at FY06 at FY05 at
ex. rates ex. rates constant
ex. rate
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Assurance 11,300 10,664 6.0% 7.8%
Advisory 4,384 3,729 17.6% 19.7%
Tax 5,088 4,605 10.5% 12.1%
Net Revenue from
Continuing
Professional Services 20,772 18,998 9.3% 11.2%
Expenses Billed
to Clients 1,214 1,154 5.2% 8.5%
Total Gross Revenues 21,986 20,152 9.1% 11.0%
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FY06 revenues are expressed in US dollars at average FY06 exchange
rates. FY05 revenues are shown at average FY05 exchange rates
and have been restated from US$20,257 million to reflect changes
in line of service definitions and to exclude discontinued
operations. Fiscal year ends 30 June.
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Aggregated Revenues of PricewaterhouseCoopers
Firms by Geography (USD millions)
----------------------------------------------------------------------
FY06 FY05 % change % change
at FY06 at FY05 at
ex. rates ex. rates constant
ex. rate
----------------------------------------------------------------------
Asia 1,940 1,753 10.7% 11.9%
Australasia and
Pacific Islands 876 806 8.7% 9.6%
Central and Eastern Europe 474 378 25.4% 26.4%
Western Europe 8,572 8,205 4.5% 8.8%
Middle East and Africa 501 441 13.6% 16.8%
North America and
the Caribbean 7,960 7,047 13.0% 12.1%
South and Central America 449 368 22.0% 22.7%
Net Revenue from Continuing
Professional Services 20,772 18,998 9.3% 11.2%
Expenses Billed to Clients 1,214 1,154 5.2% 8.5%
Total Gross Revenues 21,986 20,152 9.1% 11.0%
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FY06 revenues are expressed in US dollars at average FY06 exchange
rates. FY05 revenues are shown at average FY05 exchange rates and
have been restated from US$20,257 million to reflect changes in
line of service definitions and to exclude discontinued operations.
Fiscal year ends 30 June.