Grant Thornton International Financial Results

Grant Thornton International today announced financial results for member firms worldwide to the year ended 30 September 2006. For the fourth consecutive year, Grant Thornton International member firms achieved revenue growth with an average increase of 12 per cent (when stated in US$). Growth in many member firms significantly exceeded this level in local currencies, but the value of the dollar has depressed the figures when converted into US$.

For the fourth consecutive year, the biggest overall growth in US$ terms was in the United States, where Grant Thornton LLP grew revenues by $158,369m (19%) to revenues of $987,006m. Other parts of the network which performed well were in emerging markets such as Asia Pacific (up 21%), Central and Eastern Europe (up 19%), Brazil (up 78%), India (up 61%) and Russia (up 50%) Member firm total personnel and the number of partners worldwide grew by 11 per cent and 6 per cent respectively, reflecting significant investment made by member firms during the year in order to drive client service.

Total member firm revenue, 2006, $2.8 billion
Number of member firms – 93
Number of member firm offices – 489
Number of member firm staff – 24,512
Number of member firm partners – 2,207

Said David McDonnell, chief executive officer, Grant Thornton International: “2006 was another strong year for member firms right across the world. Firms grew particularly well in emerging markets – in South East Asia, the BRIC countries (Brazil, Russia, India, China) and Central and Eastern Europe especially. As these economies emerge it is critical for member firms to capitalise on the opportunities – and I am very pleased to see that reflected so strongly in these financial results.

“The other characteristic of the year has been the investment – in people and infrastructure at the member firm level. The member firms continue, as part of Grant Thornton International’s global strategy, to deliver the highest possible client service standards.”

From 1 January 2007 McDonnell has appointed a new global leadership board and restructured the management of Grant Thornton International. The organisation will focus on four global market segments:

Privately Held Business Services -led by Alex MacBeath
Tax Services – led by Ian Evans
Assurance Services – led by Ken Sharp
Specialist Services – led by Scott Barnes

A new chief operating officer (Mike Starr), head of network development (Gabriel Azedo) and head of marketing (Jon Geldart) have also been appointed.

The top ten member firms in the network by revenues for the twelve months ended September 30, 2006 were:

US $987,006,000
UK $491,674,000
Canada $351,160,000
Germany $148,338,000
France $108,048,000
Sweden $82,978,000
Australia $69,169,000
Netherlands $49,500,000
Japan $39,943,000
South Africa $32,914,000

The top ten growth rate of member firms in the network for the twelve months ended September 2006 were:

Vietnam +117%
Ukraine +93%
Brazil/Jordan +78%
Gibraltar +75%
Macedonia +64%
India +61%
Japan +53%
Kenya +51%
Russia +50%