Professional services giant PwC Australia has released its first-ever annual report, revealing a 16 per cent drop in profit, and detailing efforts to address the fallout of its 2023 tax scandal.
Professional services giant PwC Australia has released its first-ever annual report, revealing a 16 per cent drop in profit, and detailing efforts to address the fallout of its 2023 tax scandal.
Releasing an annual report was one of 47 actions outlined in Dr Ziggy Switkowski’s independent review of the firm’s governance issues following the tax scandal.
It comes a month after the company published an independent monitor’s report, completed by NSW Supreme Court chief justice Tom Bathurst to review the firm’s efforts to address issues.
That report found 46 of the 47 actions outlined by Dr Switkowski’s report had been implemented or were progressing against their timelines.
“PwC has long been known for its high‑performing culture. But, over the past year as we’ve been building a leading culture, we’ve also broadened the definition of high-performance,” PwC governance board chair John Green said.
“We introduced a balanced scorecard as well as a new strategy and leadership framework. Our culture is now underpinned by the firm’s new focus behaviours: curiosity, collaboration and challenge – known as our Three Cs.”
Those comments were echoed by the firm’s chief executive Kevin Burrows.
“While taking major steps to reinvent PwC Australia and setting a new benchmark for transparency, we’ve also created a step‑change in how we support our clients to navigate and thrive in the complex and often challenging environment they’re facing,” he said.
Outside of governance issues and action implementation, the report detailed a $619 million profit (down from $743 million the previous year) for the year and an average partner income of $767,000.
It was a year with no acquisitions for PwC Australia and one disposal – the company selling its 49 per cent stake in PricewatehouseCoopers Indigenous Consulting Pty Limited in early August 2024 for book value.
Total revenue was $2.16 billion (down from $2.31b in 2023), $777 million of which came from its Assurance arm, while Advisory revenue hit $759 millio, and tax and legal $475 million.
Some 28 serious misconduct complaints were made during the year, with 21 of those substantiated.
It resulted in 16 written warnings and exits from the firm.
