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A couple of things strike me here. Firstly that consulting is the largest service line for all four firms. Secondly the different proportions of tax revenues compared to total revenues (between 15.8% ND 24.5%) and just audit / assurance (between 51.2% and 80.1%). Maybe what’s not surprising is that EY has the highest percentage of tax revenues in both cases. Not a bad benchmark for those looking to disproportionately grow their tax service line.

Big Four Accounting Firms The Big Four are the four largest global accounting firms—Deloitte, Ernst & Young (EY), PricewaterhouseCoopers (PwC), and Klynveld Peat Marwick Goerdeler (KPMG), as measured by revenue. Aside from auditing services, the Big Four offer tax, strategy and management consulting, valuation, market research, assurance, and legal advisory services. They are the leading source of tax law interpretation and experts on changes in accounting and auditing standards

EY Is Laying Off U.S. Partners Amid Tough Economic Conditions 🪓 The Big Four accounting firm previously cut 3,000 U.S. workers in April, similar to moves at other professional-services firms. * Observation, EY staff are not leaving as anticipated of the usual year end, meaning lower staff turnover than previous years. Perhaps, accountants are being Disrupted by Technology, Artificial Intelligence, less required within the labour market. Hence, EY has to implement this cut to bring the staff size down. The cuts are focused on the advisory side of the U.S. operation and affect more than 10% of partners in consulting. Ernst & Young is laying off dozens of partners across all U.S. businesses, a deeper round of partner cuts than usual as the Big Four accounting firm faces slowing demand for certain services and seeks to cut costs following its failed plan to break up the firm. The cuts are largely concentrated on the advisory side of the U.S. operation, affecting more than 10% of partners in consulting and about 4% in strategy and transactions, but they touch the audit and tax arms as well, people familiar with the matter said. That would equate to more than 100 partners in consulting and over 30 partners in strategy and transactions at both junior and senior levels.

The annual globally aggregated revenues for KPMG firms surpassed US$36 billion for the fiscal year ending 30 September 2023 (FY23), marking an 8-percent increase from FY22 (5 percent in US$). We stand true to our commitment toward making the difference for clients, people and society. For more details on how we’re doing this, read the 2023 KPMG International Annual Results: https://lnkd.in/dQc_WTpN #kpmg #kpmginkuwait #financialresults #audit #tax #advisory #ema #middleeast #kuwait

𝗧𝗵𝗲 𝗕𝗶𝗴 𝗙𝗼𝘂𝗿 𝗮𝘂𝗱𝗶𝘁, 𝘁𝗮𝘅, 𝗮𝗻𝗱 𝗮𝗱𝘃𝗶𝘀𝗼𝗿𝘆 𝗰𝗼𝗺𝗽𝗮𝗻𝗶𝗲𝘀 𝗴𝗿𝗼𝘄 𝗮𝘁 𝗱𝗼𝘂𝗯𝗹𝗲-𝗱𝗶𝗴𝗶𝘁 𝗿𝗮𝘁𝗲𝘀 𝗶𝗻 𝗚𝗲𝗿𝗺𝗮𝗻𝘆 𝗶𝗻 𝘁𝗵𝗲 𝟮𝟬𝟮𝟮/𝟮𝟯 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝘆𝗲𝗮𝗿 - with all #business divisions contributing to the positive development. In addition to #Audit and #Tax, the #Advisory division is particularly proving to be a growth driver, with above-average growth at all four audit firms. The pressure on companies and the public sector to become more #digital, #sustainable and #resilient in the face of the enormous pressure to transform is ensuring that demand for #consulting services remains high. 🚩 PwC Deutschland achieved gross revenues of 2.93 billion euros in the past financial year. This corresponds to growth of 317 million euros (+12.1%) compared to the previous year. 🚩 EY generated revenues of 2.57 billion euros in Germany in the 2022/23 financial year (+15.6%). #Tax remains EY's largest business division with a share of 881 million euros. 🚩 KPMG also achieved double-digit growth of 10.1 per cent with total revenues of 2.39 billion euros. The Advisory division exceeds 1 billion euros in revenues for the first time (1.028 billion euros; +13.5%). 🚩 Deloitte surpasses the two billion euros revenue mark and increases by +21.5 per cent to 2.33 billion euros. With an increase of 31.6 per cent, the Advisory business saw above-average and particularly significant growth. 👉 In view of the strong figures, the #BigFour are starting the new 2023/24 financial year with a tailwind. If you would like to take a closer look at the audit, tax, and advisory market, we recommend the 𝗟ü𝗻𝗲𝗻𝗱𝗼𝗻𝗸 𝗦𝘂𝗿𝘃𝗲𝘆 ‘𝗔𝘂𝗱𝗶𝘁, 𝗧𝗮𝘅, 𝗮𝗻𝗱 𝗔𝗱𝘃𝗶𝘀𝗼𝗿𝘆 𝗶𝗻 𝗚𝗲𝗿𝗺𝗮𝗻𝘆’, which provides a profound insight into the industry with valid key figures and illustrates current trends and developments. 📘 The survey is available in German 🇩🇪, supplemented by a comprehensive executive summary in English 🇬🇧 at https://lnkd.in/d_ByFMgN 👉 Register for a free look into this survey❗️ #auditing #big4 Jörg Hossenfelder

Several accounting pronouncements are effective for the first time in 2024 for calendar year-end entities. See our publication that lists the effective dates of several Accounting Standards Updates issued by the Financial Accounting Standards Board (FASB) as of March 31, 2024, including those effective after 2024 (with links to related EY publications on EY AccountingLink).

Not surprisingly, PwC in the US announces a major reversal in its Tax division strategy. Paul Griggs the new income leader wants to reverse this controversial direction and reunify the 1,000 US tax partners. Driving this idea is a strong belief in a unified PwC tax brand. Originally, the idea was to integrate PwC’s US audit business with tax reporting and compliance under “Trust solutions,” while tax consulting activities were to be moved to the advisory arm, and branded “consulting solutions.” This reversal reinforces the traditional structures within PWC US and could potentially influence PWC's global practices and the strategic direction of other Firms. A few months ago Ernst & Young also reversed their separation plans with Audit and Advisory services and carve out a consulting business. As #privateequity and other investors develop investment cases for the sector they should always be mindful that Accounting and Professional services firms’ business models will ultimately be determined by #regulatory, #market, and #internalpressures. As for Leadership and Firms in the sector, its time they paused to develop longer term strategies and stopped with these opportunistic ideas. #accounting #professionalservices

Big 4 Battleground: Consulting Surges, But Who's King of the Castle? The Big Four accounting firms—Deloitte, PwC, EY, and KPMG—are the unchallenged leaders of the professional services industry. Beyond their immense scale, an interesting movement is taking place within their empires. Here's a look into their war chests, indicating an unexpected rival to audit and assurance's traditional dominance: Consulting Crown: While Deloitte holds the overall revenue crown at $65.1 billion, it's their consulting arm that reigns supreme, raking in a whopping $29.6 billion—nearly half their total revenue! This trend is echoed across the Big Four, with consulting showing impressive growth. Tax Titans: Don't underestimate the tax expertise of these giants. EY takes the lead in tax revenue with a hefty $12.1 billion, showcasing their prowess in navigating the complexities of global tax landscapes. Audit Authority: The traditional bread and butter of these firms, audit and assurance, still holds significant weight. PwC and Deloitte remain strong contenders, generating $18.7 billion and $20.1 billion, respectively. Beyond the Big Three: While tax, consulting, and audit dominate, the "other" category shouldn't be ignored. KPMG, with $6.1 billion, demonstrates the increasing diversification of services offered by the Big Four. As the landscape changes, it will be fascinating to witness how these titans adapt and innovate. #big4 #consulting #audit #india #personalfinance #finance #icai

Big 4 Battleground: Consulting Surges, But Who's King of the Castle? The Big Four accounting firms—Deloitte, PwC, EY, and KPMG—are the unchallenged leaders of the professional services industry. Beyond their immense scale, an interesting movement is taking place within their empires. Here's a look into their war chests, indicating an unexpected rival to audit and assurance's traditional dominance: Consulting Crown: While Deloitte holds the overall revenue crown at $65.1 billion, it's their consulting arm that reigns supreme, raking in a whopping $29.6 billion—nearly half their total revenue! This trend is echoed across the Big Four, with consulting showing impressive growth. Tax Titans: Don't underestimate the tax expertise of these giants. EY takes the lead in tax revenue with a hefty $12.1 billion, showcasing their prowess in navigating the complexities of global tax landscapes. Audit Authority: The traditional bread and butter of these firms, audit and assurance, still holds significant weight. PwC and Deloitte remain strong contenders, generating $18.7 billion and $20.1 billion, respectively. Beyond the Big Three: While tax, consulting, and audit dominate, the "other" category shouldn't be ignored. KPMG, with $6.1 billion, demonstrates the increasing diversification of services offered by the Big Four. As the landscape changes, it will be fascinating to witness how these titans adapt and innovate. #big4 #consulting #audit #india #personalfinance #finance #icai

📚💼 Be informed about the latest developments in #Accounting, #Finance, #Tax, #Legal, and #HumanResources that impact your day-to-day activity, either you work in one of those specific areas or these areas affect your work. Check out and register to our next classes at #DeloitteAcademy!