Inside Public Accounting released their annual list of revenue for the 100 largest accounting firms. It can be found here.
When I saw the article, I did what any self-respecting CPA would do – – paste the data into a spreadsheet and start crunching the numbers. Here are a few of my observations:
- Total revenue for Top 100 is $42.7 billion dollars. All percentages I mention will use this as the basis for the calculation.
- Deloitte, the largest firm, has revenue of $10.9B which is 25.6% of the top 100.
- The Big 4 have combined revenue of $40.0B, which is 72.6% of the total.
- To get a firm large enough to surpass #4, which is KPMG, the next 7 firms would have to merge.
- To get a firm large enough to surpass Deloite at #1, the next 72 firms outside the Big 4 would have to merge.
- If the 96 firms outside the Big 4 were to merge, they would only be larger than Deloite by 7.1%.
- 55 firms saw topline revenue increase – 41 firms saw topline revenue decrease.
- Of the Big 4, Deloitte saw an increase in topline revenue while PwC, Ernst & Young, and KPMG saw topline drop.
Hat tip: Going Concern