BDO announces robust global revenue growth to over US$14 billion

Brussels, 20 December 2023.
BDO announces combined global revenues of US$14 billion (€13 billion) for the financial year ending 30 September 2023, representing year-on-year revenue growth of 10.2% USD (11.9% EUR). All service lines saw good growth in the year, with Tax achieving the largest increase.

Pat Kramer, Global CEO, BDO, said:
“I’m proud of our robust financial performance in 2023, with broad-based revenue growth across all regions and service lines, building on an impressive 60 years of success. Despite global challenges like high interest rates, inflationary pressures, and shifting geopolitics, we’ve continued to consistently upweight our efforts to foster client growth and win international business across our expanded global footprint. Our multi-disciplinary firms have proven their readiness to adapt to shifting market dynamics and new technologies to meet evolving client needs.
The success and the strength of our brand is underpinned by our ongoing investment in cutting-edge technologies and our people, reinforced by an unwavering commitment to quality and integrity.”

Global revenue growth

BDO achieved consistent revenue gains across our global footprint. Our focus has been on servicing key accounts and actively pursuing significant clients across larger economies to bolster and support overall growth.

Europe, Middle East and Africa (EMEA) region revenues¹
• Central and Western Europe experienced robust growth, driven by performance in the UK (+16%), France (+11%), Germany (+16%), Belgium (+21%), and Austria (+23%).
• Revenues from the Middle East rose by 13% overall, with exceptional performance from Saudi Arabia (+ 31%).
• Across Africa, revenues also increased, driven by South Africa (+19%) and the collaborative efforts of East African member firms to collectively boost performance.

Asia Pacific region revenues¹
• India saw an impressive revenue surge (+34%), with Australia (+18%), New Zealand (+15%), and Singapore (+18%) also achieving strong growth.
• The economic climate resulted in sluggish growth for China and Hong Kong.

Americas region revenues¹
• In North America, Canada grew by 13% and the US by 9%.²
• Most firms in South America delivered double-digit growth, with revenue gain driven by Brazil (+10%).

Broad-based revenue growth across all service lines³

Our core service lines – Audit and Assurance, Advisory, Tax, and Business Services and Outsourcing – continue to grow in key markets, with our trusted teams guiding clients through market uncertainty and adding value with expertise by delivering client-focused solutions.

Audit and Assurance
Despite market shifts, heightened regulatory requirements and increasing competition, our Audit and Assurance business has continued to grow (+7%), achieving revenues of US$4.1 billion (€3.8 billion). Audit remains central to our brand and growth, representing the largest portion of our business at 42%. Our investments this year have focused on enhancing audit quality, the transformation of our suite of audit technologies, and enriching our talent
experience.

Advisory
Revenues from our Advisory operations grew by 4% to US$2 billion (€1.9 billion). Growth in Advisory has been driven by client demand for the integration of digital solutions within their business models. Facilitating business transformation through technology, via our BDO Digital practise, has served as a catalyst for growth in North America and continues to demonstrate significant potential across other regions globally. Additionally, ongoing investment in tools and solutions, enhanced digital offerings, and the newly established Management Consulting stream is effectively addressing changing market needs. In 2024, we anticipate continued growth in our Advisory business, in line with increasing global demand for advisory services.

_{1 Percentages are in domestic currency.
2 Percentages exclude alliance firms.
3 Values exclude alliance firms. Percentages based on USD.}

Business Services and Outsourcing
Business Services and Outsourcing grew by 7% to US$1.4 billion (€1.3 billion) in revenue. BDO offers a diverse range of outsourcing solutions designed to adapt to the needs of clients as they grow. Our focus this year has been on building meaningful client relationships and delivering an exceptional client experience. In addition, we are committed to ongoing investment in enhancing the skillsets and capabilities of our people. Simultaneously, we’re prioritising investment in technology to drive a transformative shift within our service provision.

Tax
Revenues from our Tax businesses grew by 10% to US$2.2 billion (€2.1 billion), reflecting our commitment to international collaboration and the delivery of superior client service. Our Tax teams excelled in the execution of cross-border client initiatives and in effectively addressing client challenges on local and global scales. Economic challenges related to climate change, energy transition, workforce mobility, and digitalisation have increased demand for an international tax response, amid renewed attention to domestic financial affairs and national borders.

Additionally, there is heightened focus on international tax assurance and risk management.  Demand for agile and international advisers to help clients meet compliance and reporting obligations has consistently increased, in line with the continually evolving regulatory environment.

A thriving global team

Our global headcount continues to expand as we look to secure the best talent to support our clients and fuel our growth. In 2023, we increased our global headcount by 3.9%, adding specialists and subject-matter experts at all levels and across all service lines. Our diverse global team of over 115,600 people combines global expertise with local knowledge to deliver bespoke client solutions.

Our global workforce has grown through the integration of technology that has facilitated the scalability of teams by streamlining processes, automating tasks, and enabling more efficient collaboration. By leveraging technology, we are enhancing the training and upskilling of our teams to elevate the client experience. We’re committed to empowering our people globally and ensuring that they have the skills to develop thriving careers. We’re proud that BDO is a place where people want to work, as illustrated by our inclusion this year in ‘Canada's Top 100 Employers.’

Our unwavering commitment to quality

We remain an organisation that is deeply committed to exceptional client service. Quality is a strategic priority, and we have increased our efforts in this area by continually developing our independence, privacy, and quality monitoring programmes. Throughout the year, our primary focus has been on elevating audit quality, with investment in resources to drive consistent, high-quality outcomes. Our aim is to consistently deliver exceptional, top-tier services, fostering confidence and securing trust among capital markets, regulators, investors, and our clients.

Elevating technology across our organisation

We are investing in digital solutions and AI, blending responsible digital intelligence with data analytics to generate insights, facilitate intelligence-driven decision-making, achieve efficiencies, and generate cost savings. These investments also serve to attract and retain talent to pursue careers they desire embracing AI and technology, and deliver transformational value to our clients responsibly.
This year, BDO expanded its collaboration with Microsoft as a strategic partner. The alliance will benefit Microsoft and BDO clients in the enterprise and mid-markets, and continue the digital transformation of our business.

Embracing a sustainable future

With a focus on a resilient and thriving future, we are dedicated to sustainability. Our global sustainability programme ensures that we work together globally for the best interests of our people and our planet.
In 2021, we pledged to the Net Zero Financial Service Providers Alliance to reach net zero carbon emissions by 2050 or sooner. This commitment is driven by our net zero programme, which provides our firms with a standardised global approach and method to aid their journey to net zero. This includes calculating emissions, setting net-zero targets, and annual reporting obligations.
Through our comprehensive portfolio of sustainability services, we’re also supporting clients to fulfil their ESG ambitions, further driving positive change towards a sustainable future for all.

Supporting humanitarian efforts globally

The BDO organisation leverages its teams worldwide to help those impacted by humanitarian crises. Throughout the past year, we have witnessed the powerful effect of our organisation uniting to support colleagues and others affected by natural disasters and other tragic events.
Our Solidarity Fund provided immediate financial aid for colleagues and their families in Ukraine. Further efforts were made in response to the earthquakes in Türkiye and Syria, and donations were also made to provide first aid, shelter, food, and financial assistance to those affected by the recent conflict in the Middle East.