EY reports single-digit growth as workforce figure drops

EY global results revealed single-digit growth for the Big Four firm, against the backdrop of a smaller headcount.

The firm’s combined global revenues for the financial year ending June 2024 increased just short of four per cent to $51.2bn (£39.41bn), up from $49.4bn (£38.02bn) reported last year.

Despite the increase, the single digit growth is lower than the 12 per cent increase it experienced last year.

In terms of geography, the best performing region for the firm is still the Americas, which generated over $24bn (£18.47bn), but it was the EMEIA (Europe, the Middle East, India, and Africa) region that had the most growth with over eight per cent to nearly $20bn (£15.4bn).

While none of EY service lines reported revenue decline, it was its tax (6.7 per cent) and its assurance (5.8 per cent) practices that led, with $12bn (£9.24bn) and $17.3bn (£13.32).

While its consulting practice globally remained the same, accounting for $15.6bn of its revenue.

EY headcount drops as growth slows

In terms of people, its global headcount dipped slightly to 392,995 people, down from 395,442 over 2023.

The FT reported this was the first time it cut its headcount since just after the financial crash 14 years ago, and its revenue growth was also the weakest since 2010.

It was the practice support that had the most decrease in headcount with a near five per cent drip to 48,897, followed by its strategy and transactions practice with a 3.5 per cent decrease in people.

Commenting on the results, Janet Truncale, EY global chair and chief executive, said: “Over the past year, EY teams have demonstrated extraordinary resilience in a challenging economic climate with growth across all service lines.”

“This resilience is driven by sustained investment in EY capabilities through a broad spectrum of services, such as leading AI and tech,” she added.

EY has not yet revealed its UK results. However, partners in the UK were warned back in April that profits could fall by 15 per cent this year, and as a result they will see a drop in their pay packet.

Last month, PwC UK reported single-digit growth in revenue, against the backdrop of the group’s profit and partner pay dropping, again.

While revenue at Deloitte UK increased slightly by over two per cent, its profit stalled in the challenging market.