KPMG UK Profits Stumble Despite Strong Growth in Audit Revenues

KPMG’s UK arm saw its profits dive by more than 20% last year despite an increase in revenues across most areas of its audit and consulting business, the firm said Tuesday.

Pre-tax profits tumbled 22% to £364 million ($461 million) in the fiscal year through September 2023 as a sharp increase in staff costs offset a 9% revenue increase to nearly £3 billion ($3.8 billion). The firm’s division focused on audits of corporate accounting posted the strongest growth among business units.

Over the same time period, partner pay increased by 3.8% to an average of £786,000 ($995,000) despite the profit ...