Deloitte partners have received a significant boost in profit share after the firm reported strong revenue growth over the last 12 months, which saw revenues increase by 6.4% largely driven by its consultancy work
The firm recorded revenue of £2.71bn for the year ended 31 May 2015, up from £2.55bn the previous year. Net revenue, after expenses and disbursements, grew by 6.1% to £2.26bn from £2.13bn in 2014.
Profit distributable to the firm's 721 partners for 2015 was £593m, a 7% rise compared to £554m in 2014. The average profit earned by each partner in the year, after providing for pensions and annuities payable to retired partners, was £822,000 compared with £750,000 last year. This gave a 9.6% boost in final annual remuneration packages.
David Sproul, senior partner and chief executive of Deloitte, said: ‘Whilst we saw some hesitation in the run-up to the general election, the broad-based increase in appetite from UK plc to invest in growth, productivity and efficiency improvements, governance and risk management and their customer focus has contributed to a positive set of results for our firm.’
Sproul's own pay rose to £2.8m, up from £2.6m the previous year.
Deloitte's figures show consulting revenue grew by 10.5% to £687m (£622m in 2014), whilst financial advisory saw revenue increase by 9% to £462m (£424m). Revenue in the tax service line increased by 5% to £590m (£562m) and audit rose by 0.3% to £708m (£706m).
The firm’s Swiss practice increased revenue by 13% for the second year in a row to £267m (£236m; or 16% in local currency terms from CHF346m to CHF401m).
Deloitte is also publishing data about the gender pay gap at the firm in its annual impact report next week ,saying this is will help in developing ways to tackle the issues that hold women back in the workplace.
Sproul said: ‘Deloitte’s gender pay gap stands at 17.8%, around 1.3% below the national figure. However, when looking across the organisation as a whole the pay gap between male and female employees at each grade is significantly lower, at 1.5%. This illustrates that for Deloitte, the issue is far less about how we pay our people and more about the number of women employed at senior grades.
‘We have an ambition that 25% of our partners will be women by 2020 and in June we announced the promotion of 22 new female partners. We have also taken a number of steps to support these objectives, most recently introducing a return-to-work initiative designed to support women back into employment. We believe that without a representative share of senior female employees average pay will never truly equalise.’
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