Grant Thornton UK Achieved Strong Financial Results in 2023

Grant Thornton UK, a prominent accounting and advisory firm, has reported impressive financial performance for the year 2023. Despite facing challenging market conditions, the firm demonstrated resilience and growth across key metrics.

Key Highlights:

1. Partner Pay Increase:

   • The average partner pay at Grant Thornton UK rose by 11%, reaching an impressive £644,000. This substantial increase reflects the firm’s commitment to rewarding its partners for their contributions.

2. Net Revenue Growth:

   • Grant Thornton UK’s net revenue for the twelve months ending December 31, 2023, reached £654 million, up from £610 million in the previous year. This represents a 7% growth in revenue.

3. Operating Profit Surge:

   • The firm’s operating profit also experienced significant growth, rising to £146 million, an 18% increase compared to 2022. This robust performance underscores the effectiveness of Grant Thornton’s strategic initiatives.

4. Audit Practice Success:

   • While growth was described as “modest” in the advisory and tax practices, the audit practice achieved significant gains. Grant Thornton’s focus on providing high-quality audit services contributed to this success.

5. Investment in People:

   • The firm allocated £11 million for salary increases and set aside 15% of trading profits for discretionary bonuses.

6. Leadership Transition:

   • CEO Dave Dunckley stepped down; new CEO is previous Chief Operating Officer Malcolm Gomersall.

7. Historical Context:

   • Despite rising costs and lower demand in advisory services , revenue still grew by 12% to £610 million, and profit before tax rose 5%.

8. Private equity deal:

   • Grant Thornton’s US arm agreed to sell a major stake to private equity firm New Mountain Capital. This move reflects the growing interest in the accountancy sector from buyout firms.