On November 25th, EY announced a growth of 10.2% in its turnover generated in Luxembourg, reaching total net revenues for the financial year ending 30 June 2021 of €286 million. Financial results are up in all service lines. Globally, EY saw its revenues increase by 7.3% to a total of $40 billion.
[photo EY Luxembourg. From left to right: Laurent Moschetti, Consulting Leader, Olivier Lemaire, Assurance Leader, Olivier Coekelbergs, Country Managing Partner, and Bart van Droogenbroeke, Tax Leader]
“Although the past two years have been particularly challenging, with the pandemic triggering an almost overnight shift to virtual working in FY20, I am proud that EY has once again achieved excellent results in FY21. Taking into consideration the past two fiscal years – during which the economy has been strongly impacted on a global level, EY Luxembourg achieved an exceptional combined growth of 24.4%, proving its resilience to unforeseen circumstances.
This success is made possible by our talented and engaged professionals who put our clients at the center of everything they do and to our anchorage into the local business ecosystem, building on our clients’ trust”, says Olivier Coekelbergs, looking back on his first entire fiscal year as Country Managing Partner of EY Luxembourg, during EY Annual Press Conference 2021.
He has identified three growth drivers: the unity of the Luxembourg partnership, the good management of the pandemic internally and the successful strategy adopted in all service lines.
Assurance: strong growth of 10%
The Assurance practice achieved a strong growth of 10% in fiscal year 2021 after a record year of 16.5% growth in 2020. The increasing demand for further assurance – linked amongst others to new regulations in the financial sector, continues to be a driver for growth.
“Luxembourg remains highly attractive for international players in all industry sectors and particularly in Alternative Asset Management. Thanks to its continuous focus on quality, particularly in the context of increased regulation, and to the strength of its network, EY’s assurance practice has gained new global clients and expanded its breadth. CFO services, controls reporting, and Forensics & Investigation are part of our growing services, along with advising and providing assurance on non-financial information through a team of ESG experts who have been guiding our clients through, amongst others, the upcoming CSRD/SFRD regulation.
Digital Audit, including data analytics expansion, process mining and robotics are among the growth opportunities for the upcoming years, which will add even more value to our audits. Thanks to our future-driven approach and our leadership in audit, EY Luxembourg has succeeded this year again in attracting the best talent to serve our clients”, says Olivier Lemaire, Partner, Assurance Leader.
Consulting: revenues increased by 5.5%, the only sector without double-digit growth
The first semester was the most complicated, Laurent Moscetti, Partner, Consulting Leader, acknowledged, before a more positive second semester with growth accelerating to 8%.
“Client centricity and the creation of technology-enabled long-term value is what drives our practice’s growth. I am pleased to say that EY Luxembourg has been confirmed as EMEIA-wide center of excellence on banking technologies, supporting our business expertise in the finance industry. In the upcoming year, we will accelerate the development of our Financial Managed Services Platform, which delivers state of the art services to the actors of the Alternative Investment Funds industry. Last but not least, we will be strongly positioned to support our clients in many other areas, such as digital and data led transformation, cyber security and ESG consulting services – to name the main topics of interest on the market”, comments Laurent Moscetti.
According to him, clients were more willing to give longer mandates of several years compared to the previous practise of shorter mandates of just a few months
Tax: robust growth of 11.8%
The Luxembourg Tax practice growth of 11.8% was mainly driven by transactions, transfer pricing, (re)-structuring support, digital tax, managed services and indirect tax services.
“EY Luxembourg continues to see a significant increase in the alternative investment fund industry and particularly in Private Equity, Real Estate and Credit Funds, requiring high quality tax advice. This trend, along with the profound transformations led by ESG regulations in all sectors, will be fueling growth opportunities within the Tax practice for the months and years to come. I am confident that, thanks to the cutting-edge, digitally enabled services we provide to our clients in Tax, Law and People Advisory Services, we will be on track to achieve the targets of Ambition 2026”, comments Bart van Droogenbroek, Partner, Tax Leader.
Strategy and Transactions practice increased by 13%, the sector growing the most
“Weaker M&A market conditions during the earlier part of the financial year were largely compensated for by a stronger activity level in the second half of the year, as well as sustained growth in the other core SaT activities. Valuation and business modelling services were successfully driven by the positive trends in the alternative investment fund industry, as did our restructuring services focusing on fund liquidations and insolvency projects.
Given the good prospects of our SaT practice, we integrated two additional partners and further expanded the team, to further develop our existing business and launch new advisory services such as real estate M&A and development projects”, explains in a press release Christophe Vandendorpe, Partner, Strategy and Transactions Leader.
700 people to be recruited by the end of 2022
Since the beginning of fiscal year 2022, EY Luxembourg onboarded a record number of 450 joiners. By the end of the fiscal year, it will have hired more than 700 new professionals. Overall, EY Luxembourg employs 1,700 people.
55% men and 45% women work at EY, states Olivier Coekelbergs. He admits a lack of women partners: "We know very well it is something to work on. But it is not changing overnight."
In addition, in order to remain competitive in the "war for talent", as Olivier Lemaire puts it, EY is increasingly attentive to the work/life balance. To retain its talents, EY offers them 60 hours of training per year as well as the possibility of completing an MBA.
First Sustainability report
EY’s Luxembourg’s first Sustainability Report that covers financial year 2021 has been launched on 25 November 2021, along with the financial results. “At EY, we see our business as a catalyst to generate long-term sustainable value. Our commitment to get our people growing, to ensure the best use of technology and to innovate are at the center of our strategy. We are also eager to support our clients in making their businesses more sustainable through our ESG services, for example by defining and implementing their ESG strategies and keeping pace with the existing and upcoming ESG requirements, such as the Corporate Social Responsibility Directive (CSRD) and the Sustainable Finance Disclosure Regulation (SFDR), and related implications.
Our area of influence goes beyond our organization. To come back to our initiatives, we have taken several specific actions to strengthen a diverse and inclusive working environment and lower carbon emissions by aligning with EY Global environmental commitment. We are also very proud of our EY Corporate Responsibility Program, EY Ripples. Through EY Ripples, our employees can use their skills and experience to help those most in need to transform their lives” says Renaud Breyer, Partner, Sustainability Leader in a press release.
Publié le 25 novembre 2021