Ernst & Young LLP recently released its 2005/2006 fiscal year results (year ending June 30, 2006) worldwide revenues rose 10% in local currency terms to a total of $18.4 billion. E&Y is the first among the private accounting firms to report results, and it does appear that times remain good and growth is rampant in areas outside North America and Western Europe. We will look for other accounting firms to report in the next few months and watch how they differ from these results.

Transaction Advisory Services (TAS) led the charge, growing at 16% and reflecting the boom in global Mergers and Acquisitions activity.

Assurance and Advisory Business Services (AABS), the traditional public audit services grew 11%, driven by continuing demand for Sarbox, internal audit and specifically risk services.

Tax Services grew only 6% "against a background of continuing regulatory and legislative reform". This is surprising as Tax has always been a strong growth leader and reflects the challenges and fallouts from the ongoing KPMG litigation on use of inappropriate tax shelters.

The global picture shows that emerging economies' revenues surged, especially in Asia, Pacific and Indian SubContinent. Growth in developed countries was below the global average, here are the numbers:

9% in the Americas
19% in Northern Europe, Middle East, India and Africa
6% in Central Europe
7% in Continental Western Europe
14% in the Far East, Oceania and Japan

Ernst & Young LLP also said, "While our "mature" markets continued to perform well, we achieved stellar growth, of between 25% and 55%, in the emerging-market economies in which we have made strategic investments,"
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