Accounting Leaders About To Flip Their Pecking Order.
ATLANTA--(BUSINESS WIRE)--April 18, 2000
Unloading slow-growth consulting operations will bring big changes.
Deloitte & Touche to unseat Arthur Andersen.
Look for the hierarchy of the nation's biggest public accounting firms to be turned upside-down by this time next year, according to an exclusive new research report by Public Accounting Report (http://www.straffordpub.com/products/acnatsrv/index.html).
That's because all of the Big Five except Deloitte & Touche are in negotiations to part company with all or part of their consulting operations, despite the huge gains they have reaped from consulting over the last decade. Public Accounting Report's Annual Survey of National Accounting Firms - 2000 (http://www.straffordpub.com/products/acnatsrv/index.html) estimated that if the firms follow through with plans to sell, spin off or divorce from consulting businesses, then Deloitte & Touche would unseat Andersen Worldwide as the nation's biggest accounting firm, followed by Ernst & Young, KPMG, PricewaterhouseCoopers, and Andersen Worldwide.
Currently, Andersen Worldwide is the largest with $7.69 billion (estimated) in fiscal 1999 U.S. net revenue, followed by PricewaterhouseCoopers at $6.96 billion, Ernst & Young at $6.52 billion (estimated), Deloitte & Touche at $5.34 billion, KPMG at $4.11 billion, and the Second Tier Firms, Grant Thornton at $375 million and BDO Seidman at $298 million.
Because this year the nation's largest accounting firms experienced only routine performance from their consulting practices, rather than the rampaging growth of recent years, their average growth rate fell significantly. This is the first time in five years the growth rate hasn't increased, the Public Accounting Report Annual Survey found.
The seven biggest firms expanded their U.S. net revenue by an average 18.2% in fiscal 1999, significantly below the 26.4% growth for the group a year earlier, and the smallest increase in three years.
Public Accounting Report's Annual Survey of National Accounting Firms - 2000 is the most authoritative and complete analysis of global revenues, practice breakdowns, staffing numbers and other key indicators of the public accounting profession.
Note to Editors:
Public Accounting Report (http://www.straffordpub.com/p roducts/par/index.html), the oldest and most widely circulated independent newsletter of the public accounting profession, is published by Atlanta-based Strafford Publications, Inc. To view excerpts of the 2000 survey online, go to http://www.straffordpub.com/products/acnatsrv/index.html.
Reporters wanting a full copy of the survey edition can phone Executive Editor Jon McKenna at (800) 926-7926.
|Printer friendly Cite/link Email Feedback|
|Date:||Apr 18, 2000|
|Previous Article:||Zonagen Submits Final Results of the Two-Year Rat Study to the Food and Drug Administration.|
|Next Article:||webPLAN Plugs Hubbell into e-Business; webPLAN e-Business Solution Purchased by Hubbell Inc.|