EY suffers 5.5% loss in annual revenue for FY24
EY has reported the firm's annual revenue is down by 5.5 per cent, generating $2.81 billion in revenue this year.
The 2024 financial year has seen a decrease in revenue for big four firm EY, down 5.5 per cent from financial year 2023.
The company’s revenue for 12 months ending on 30 June 2024 was measured at $2.81 billion compared to $2.97 billion made the previous year.
Despite a decrease in revenue, the company reported strong growth in its assurance business and tax service lines.
EY regional managing partner CEO Oceania, David Larocca, said the decrease in revenue is a direct result of the slowing Australian and global economy.
“In the last 12 months we’ve seen the market shift priorities and investment decisions in response to a difficult environment,” he said.
“We made very tough decisions this year to protect the sustainability of our business as demand slowed for transaction and consulting-related services.”
The company reported the assurance service line reached $0.71 billion, while tax reached $0.61 billion and transactions delivered $0.46 billion.
Consulting also brought in a $1.04 billion revenue for the 2024 financial year despite trending downwards.
Larocca said EY is proud of what has been accomplished this financial year after being impacted by economic challenges.
“Notwithstanding the very tough market conditions and a heightened focus on professional services more broadly, we’re extremely proud of what we’ve accomplished and thank everyone for their contribution,” he said.
According to Larocca, EY invested more than $50 million in talent agenda across EY Oceania members in the 2024 financial year.
The areas with new employees include learning and development, recruitment and onboarding, wellbeing initiatives and culture change.
In the last fiscal year, EY Australia has also appointed 53 new partners which included 31 promotions to partner and 22 new hires as partners.
The company also appointed 20 associate partners and hired 658 graduates.
Larocca said EY is focused on building a safe and inclusive workplace for everyone, following recommendations from the release of the EB&Co report last year.
“We acknowledge that transformative culture isn’t delivered overnight, nor will it ever be ‘job done’,” Larocca said.
“It remains a long-term, continuous investment to ensure we build upon a diverse, respectful workplace where our people feel they can belong, perform and thrive.”
The company has expressed interest in adapting to new and evolving technologies such as AI in the 2025 financial year.
“We aim to have the largest and most AI-proficient professional services team in Australia, which is why we’re putting technology at the core of how we provide exceptional value and experience,” Larocca said.
“Globally, EY has invested US$1.4 billion in building our very own enterprise-scale platform, EY.ai EYQ,”
“By collaborating with our technology alliances, we can use AI to address complex challenges and deliver substantial value to clients and communities.”
To help aid the development and adoption of new technology, EY Oceania appointed Katherine Boiciuc as chief technology and innovation officer.
