KPMG Luxembourg Reports 8% Revenue Rise

KPMG Luxembourg has announced an 8% growth in its revenues in 2019, an increase that the firm has attributed to helping its employees and clients as well as local communities focus on achieving their full potential. 

KPMG Luxembourg reported revenues of €232 million, up from €215 million in 2018. This included increases in the firm's audit, tax and advisory departments: audit increased by 5% to €103 million (€98 million in 2018); tax rose by 11% to €61 million (€55 million in 2018); and advisory went up 8% to €68 million (€62 million in 2018).

As of 30 September 2019 (and including intake of 1 October 2019), 1,760 employees were working at KPMG Luxembourg.

Managing Partner, Philippe Meyer, explained: “When it comes to outshining potential, I can think of no better example than that of Luxembourg. Despite its status as a small country, Luxembourg punches above its weight as a financial centre. We see this endless potential in our clients and we endeavor to help them explore all opportunities and bring them to the next level". He added: "Technology is an enabler in this sense and has a huge role to play in facilitating this transition but trust is equally important". 

Frauke Oddone, Head of Markets, explained how unlocking the benefits of artificial intelligence and data means that we are shaping a new story for Luxembourg:
“Artificial intelligence and data and analytics represent a new paradigm for finance, the state and companies in Luxembourg. A new story is being written, and we’re co-authoring the narrative with our clients".

Pascal Denis, Head of Advisory, revealed how KPMG helps clients rise to the challenge of growth and the transformation of risk and compliance in 2019: “Outshining potential means providing our clients with the best experience and best people to meet their mounting challenges. This year is full of examples that illustrate that a strategic approach to investing allows this to happen. The increasing drive toward mergers and acquisitions across Europe means rising to the challenge of accurate valuation and targeting, so we have invested in deepening and broadening our expertise and network in this area. The shift towards ESG involves rising to the challenge of analyzing new risks, so we have created systems and tools to allow asset managers, for example, to do this and to incentivize green behavior. The surge in reporting obligations under new regulations, means reacting to the challenge of industrializing report creation – so KPMG’s managed services has launched new services to outsource risk, regulatory and tax reporting from our clients in our European Center of Excellence hub in Luxembourg. I see creativity, agility and collaboration in everything we do. This is the key to delivering on potential”.

Emmanuel Dollé, Head of Audit, explained how talents within the firm together with the right technology transcends the potential of a good audit: “Audit teams equipped with a high level of technical skills and empowered with professional skepticism are the foundation of a good audit and is vital for the quality of the audit process and integrity of financial information. Only with these skills auditors serve the community. At KPMG, we’ve created an Innovation Hub that brings together the latest technology to achieve consistent and efficient audits. Applying the right technology serves the quality of what we do. And we need the people to transform the ideas into real projects and tools for the benefit of our clients. We see our people having meaning and purpose while developing their full potential in spite of the evolution of the environment that our clients face, such as regulatory changes, new requirements, increased surveillance and ESG standards. Not to forget how the industry will be disrupted by technology and AI. So clearly, audits are not dying yet: continuous investment and growing opportunities for our people is a must but audits do need to adapt to the digital age too”.

For his part, Sébastien Labbé, Head of Tax, explained how Luxembourg has capabilities to embrace the new world of tax:  “Raising to the full potential of the country requires bold measures and strong actions. To remain ahead of the curve, Luxembourg must diversify and further reinforce its economy. We see two areas where investment will make a difference and raise the profile of the country. Firstly, we welcome tax incentives to help promote digitalisation and prepare the country for the digital economy and to facilitate the recruitment of certain highly qualified tech profiles. Secondly, if we look at the very long term, we are moving towards a decarbonised world, towards a world with more sustainable and environmentally friendly investments".

Thierry Ravasio, Head of People, illustrated how KPMG employees expand in their own ways their full potential to drive their clients’ success: “Our people are innovative, expert, agile and passionate. They are our most valuable assets when building sustainable relationships with our clients. [...] Offering the best talents to our clients can only be fostered by a strong culture of training and upskilling which has become a vital part of the firms’ journey for everyone in the firm. To liven up to the culture we want to shape, we’ve recently brought our HR and Learning and Development teams to form a new “People and Culture” team to address not only our staff’s challenges and needs but ultimately to enable them to shine back on our clients’ customer experience“.

Philippe Meyer concluded: “I think that we are right to say that you can measure your success when you go beyond anything you thought possible. Our clients and Luxembourg must grasp the opportunities that lie ahead of them. Innovate, be bold and daring, and persist in reaching quality and integrity in everything you do to achieve a sustainable growth together. Outperform but remember that you cannot do this alone, you need trusted allies that collaborate to a greater purpose”.