BDO Suffers a 7% Revenue Decline
BDO, which is known to be the sixth largest firm in UK, has generated a national turnover of £312.2m, a 7 percent decline for the year ended June 2010 compared to its 5 percent fall in the financial year ended July 2009.
Managing partner Simon Michaels was still upbeat the following year would turn out a “steady progress” in spite of the revenue fall that covered all of BDO’s lines of services including audit, business restructuring and tax, except for corporate finance.
The increase seen in corporate finance was attributed to the upsurge in transactional work. However, BDO admitted this record was still far from being equal to the recent hikes.
The second half of the financial year ended July 2010 saw a strong progress.
BDO, according to Michaels, has expressed willingness to provide advisory assistance to the public sector after the proposed Audit Commission was rejected.
Figures reflected in the annual reports of BDO only represent the challenges posed by the economic environment to the profession and clients alike, BDO said.
BDO added that the “lack of activity in the calendar year 2009” has led to a 7 percent fall in the national turnover. The stronger performance in the first half of 2010 was attributed to BDO’s 200 partners that had managed to generate £60.8m from the previous £58.7m.
Michaels said BDO has been putting too much concentration on the global outsourcing compliance, internal audit work and the public sector.
“Our plans are ambitious,” Michaels said. He added that BDO wanted to grow in various niches other than delivering the best services to its clients.