Mazars revenue grew over 10% last year
Mazars Group, the international accounting firm network, reported revenues of €1.8 billion ($1.98 billion) in its 2018-2019 fiscal year (Sept. 1, 2018 - Aug. 31, 2019), up 10.4 percent (excluding foreign exchange impact of +0.2 percent), compared to the prior fiscal year. The increase in revenues was boosted by 9.0 percent organic growth, plus external growth of 1.3 percent.
In North America, where the network includes Mazars USA (President Trump’s accounting firm, which has been caught in the middle of a legal battle over his tax returns with Democrats in Congress), Mazars saw revenue grow more than 12.1 percent in the last fiscal year.
“This is the highest level of organic growth recorded by Mazars since 2011/2012,” said Hervé Hélias, CEO and chairman of Mazars Group, in a statement. “This outstanding performance comes from a combination of the high level of expertise and strong commitment of our teams to deliver our clients with a seamless experience globally, as well as a true recognition of the benefits of Mazars’ uniquely integrated partnership model. Mazars is a trusted partner of choice for organisations of all kinds, not just listed companies.”
Mazars also grew in North America last July by teaming up with a group of five other large U.S. and Canadian firms in the Mazars North America Alliance (see Mazars creates North American alliance). The other firms in the alliance include BKD, Dixon Hughes Goodman, Moss Adams, Plante Moran (U.S.) and MNP (Canada). The alliance enables the firm to extend its coverage in North America, and to provide its international clients with access to an additional 16,000 professionals in the region. Mazars now has 40,400 professionals serving clients around the world (24,400 professionals in Mazars’ integrated partnership), and 318 offices across 91 countries and territories.
Hélias inherited the chairmanship of Mazars Group from Philippe Castagnac in December 2018 after having served as CEO since 2016. “Four years ago, we set an ambitious strategic plan called Next-20,” said Hélias in a statement. “Our expansion into China to reach critical size in this vast market and the development of a strong and competitive offer in North America ranked amongst our top priorities, alongside a smooth transition in our governance with a well-planned succession of Philippe Castagnac in his role as chairman of the group. Today, I am very proud to say that these objectives have been met. Our goal in 2020 is to reach 2 billion euros in revenues, and I feel confident that we will achieve this.”
The firm is based in Paris, but more than a third of the firm’s fee income now comes from outside Europe. Mazars reported that all regions of the globe enjoyed strong revenue growth in 2018/2019: 7.8 percent in Western Europe, 13.6 percent in Central and Eastern Europe, 12.1 percent in North America, 13.1 percent in Latin America, 9.4 percent in Africa and the Middle East, with the strongest growth in the Asia-Pacific region (22.6 percent).
The Asia-Pacific region now makes up 15 percent of Mazars’ total revenues. In China, the firm has over 4,000 staff and over 30 offices. Mazars’ China operations now serve as many as 137 large listed companies and experienced 19 percent growth in revenues last year. In Australia, Mazars grew 100 percent in 2019 after adding two local firms.
Audit is Mazars main source of revenue, but the network has also been growing its advisory, tax and compliance services. Audit and accounting now comprise 63 percent of total revenues, and advisory 37 percent.
While expanding geographically, Mazars has seen sustained growth across each of its
Businesses, with audit growing 8.5 percent in 2018-2019, accounting and outsourcing services
8.2 percent, consulting 24.2 percent, tax 9.9 percent, legal 34.9 percent and financial advisory services 9.5 percent.