PricewaterhouseCoopers Malta's fee income during 2009 amounted to €16 million, compared to €15.4 million in 2008, according to the firm's annual review, which includes its transparency report. PwC is Malta's largest audit firm.
The firm acted as reporting accountant and/or financial adviser to 50 per cent of local public bond issues in 2009. Statutory audit fees, including fees derived from seconding assurance staff on overseas audits amounted to €8.1 million, accounting for 50 per cent of total billings.
During 2009 the maximum fees the firm earned from any one client or client group amounted to 2.7 per cent of the total billings of the firm. More than 64 per cent of the firm's advisory and tax fees in 2009 were earned from clients with whom PwC Malta has no statutory audit relationship. The firm had an extended staff complement of 327 at December 31, 2009, 166 of whom are qualified accountants.
"The global recession has impacted our international clients, and our operations, also in other respects. Certain spheres of our international business were less active than in 2008, as our clients faced other priorities, although it is encouraging to note that the pace of new enquiries picked up noticeably towards the end of the year," the report said. On the positive side, the report said, 2009 was a successful year for Malta "and for this firm, in certain spheres involving new international structures, particularly funds and the business sector".
Kevin Valenzia, PwC territory senior partner, said in the report's introduction: "The Accountancy Profession Act prescribes a minimum content that this report should cover, but we have again chosen to go beyond this, to enable a more complete understanding of the policies, values and independence of our firm."
Mr Valenzia described 2009 as a "difficult period for our clients" and said it is likely that some more time is needed before Malta's economy will again record material growth. However, he was upbeat about the future.
"There are better times ahead. What is clear to me is that organisations that choose to invest in their futures and manage through these uncertain times with optimism will be the ones best placed to thrive. I look forward to leading PricewaterhouseCoopers Malta through the challenges that lie ahead and to helping both us and our clients to succeed," Mr Valenzia said.
"Our vision for 2010 and the coming years is based on getting closer to our clients - to listen to them and understand their business needs and demands. We will do the right thing and have the courage to express our views, even when they may not be popular," he said.
PwC issued its 2009 Review incorporating its transparency report, pursuant to the provisions of the Accountancy Profession Act requiring audit firms that carry out statutory audits for public interest entities to publish annually information in their website relating to their governance and quality structures.
The public interest entities currently audited by PwC include Maltapost, Middesea Insurance, Plaza Centres, Simonds Farsons Cisk, Unibet, Global Funds Sicav, La Valette Funds Sicav, Lombard Funds Sicav, Vilhena Funds Sicav, Elmo Insurance, Atlas Insurance, GasanMamo Insurance, Midde Sea Valletta Life Assurance, Fortis Bank Malta and CommBank Europe.