Growth and rankings rise for RSM
International accountancy network RSM grew revenues by 6 per cent last year, ahead of the average 2 per cent increase in the accountancy networks’ combined revenues.
RSM saw a 6 per cent increase in global fee income, to US$4.64bn (£3.18bn), for the financial year ending 31 December, 2015. RSM has also moved up one place in the global ranking and is now the sixth largest global network of independent audit, tax and consulting firms, overtaking Grant Thornton.
Fee income was up 10 per cent in the US, 10 per cent in Europe (based on fee income in local currencies), 6 per cent in Middle East and North Africa, 1 per cent in Asia Pacific, and 9 per cent in Latin America. Audit and accountancy fees increased by 4 per cent to US$2.27bn (£1.56bn), tax grew by 7 per cent to more than US$1.35bn (£0.93bn), and consulting/advisory was up 6.9 per cent to US$1.02 billion (£0.67bn).
The network’s global rebranding as “RSM” last year meant a name change for its UK member firm, formerly known as Baker Tilly.
During 2015, RSM appointed 11 new member and correspondent firms in Bangladesh, Belarus, Bosnia and Herzegovina, Colombia, Italy, Mali, Niger, Philippines, Sri Lanka, Tajikistan and Zimbabwe. RSM now comprises more than 38,000 staff working across 760 offices in 120 countries.
Jean Stephens, CEO of RSM, said: “We have had a very positive year and these figures indicate that RSM is going from strength to strength… our unified brand is allowing us to focus on the needs of our clients even more, giving them the confidence to take their business forward.”
Earlier this week, the annual survey of global accountancy firms and networks published by International Accounting Bulletin showed that the networks grew last year by around 2 per cent on average, with a combined fee income of US$162.6bn (£111.59bn).
The Big Four firms grew by 3 per cent, on average and PwC – with fee income of US$35.4bn in the year to 30 June 2015 – narrowly overtook Deloitte.
Associations grew by an average 5 per cent year-on-year, with combined fee income of US$23.3bn. Praxity remains the largest association globally with fee income of US$4.5bn in financial year 2015, up 3 per cent.
The IAB notes that currency fluctuations acted as a brake on reported growth in Russia, Latin America, the Euro zone and China, when expressed in dollar terms.