Hong Kong's 25 largest accounting firms 2013

PwC and Deloitte are HK’s largest accounting firms. KPMG reports the biggest upsize amongst the Big 4.

Contrary to rumors of downsizing in the accounting industry, Hong Kong’s 25 largest accounting firms in general have actually increased staff strength in 2013. Total employment rose by over 5% to 13,080.

PricewaterhouseCooper (PwC) and Deloitte Touche Tohmatsu, with each having 2400 staff, tied for the top spot in this year’s rankings. Deloitte, previously at second, climbed up the ladder when it added 200 more staff this year while PwC reduced its number by 100.

The Big Four

PwC finished off the year with a significant deal when it announced the proposed merger with management consulting firm Booz & Co. to complement PwC’s advisory business. According to spokesperson, this merger will bring 275 Booz partners and more than 3000 people to the PwC network in 33 countries.

Ernst & Young is third with 2,100 staff, up from 2000 in 2012.

Amongst the Big 4, KPMG made the biggest upsize to 2000 from only 1700 last year.

Altogether, the Big 4 comprises 68% of the total employment of the 25 largest accounting firms .

Outside the Big 4

BDO, came in fifth with 1000 employees, unchanged from last year. Preceding firms have staff strength in less than four digits.

Effective Feb 2013, BDO has appointed HK based Stephen Darley to the position of BDO CEO for the Asia Pacific region.

RSM Nelson Wheeler is sixth with 430 employees, up from only 400 in 2012. Poh Weng, RSM’s managing director said that the company has performed Internal Control work for three companies that have successfully listed in Hong Kong Stock Exchange (HKEx) this year.

HLB Hodgson Impey, which acted auditors and reporting accountants to eight companies that have successfully listed in HKEx, ranked 7th with 350 employees.

Three firms landed at 8th place, each with 300 employees - Crowe Horwarth, Mazars, and SHINEWING. Mazars, previously at 9th spot, added 20 more employees. SHINEWING’s staff strength meanwhile increased by 50 more employees.
According to Roy Lo, Deputy Managing Partner, SHINEWING, the firm’s most significant milestone would be the merger of the former entity of its Hong Kong office, Ho and Ho & Co., with SHINEWING Certified Public Accountants in Beijing. The merger has since formed the Hong Kong member firm.

Baker Tilly Hong Kong is 11th with 255 staff. Its major projects this year include reestablishing a payroll services department and integrating Baker Tilly Hong Kong Restructuring and Recovery Ltd.

“According to Invest Hong Kong, a record 213 companies from 33 countries have been set up or expanded in Hong Kong in the first half of 2013, we see an increasing demand for HR Business Process Outsourcing services, mainly from overseas clients, setting up in Hong Kong, and have positioned ourselves in this space accordingly, said Baker Tilly’s managing director Andrew Ross.

Ross added that Baker Tilly Hong Kong has been in the forefront of developing the startup community in Hong Kong . It has assumed the mantle as audit and business advisory sponsor of InvestHK’s inaugural StartmeupHK Venture Programme which aims to support the global expansion of high impact ventures.

Grant Thornton, at 12th post maintained its 200 staff.

The smaller players

Some of the smaller players with staff less than 200 also grew their numbers this year while the others maintained their numbers. Only KLC Kennic Lui & Co., reported reduction in the number of staff.
Patric Wong CPA, a traditional CPA firm in practice for 38 years and serving small and medium clients majorly, maintained its staff strength of 100 in 2013. According to a spokesperson, the whole firm is undergoing a re-engineering and expects manpower restructuring in 2014. The firm, ranked 14th this year.

While it has maintained its staff strength of 85 this year, Ting Ho Kwan is looking at investing more manpower and resources in the future as it is expanding its clientele to include more IPO engagements.