21 March 2023 - 2021 / 2022 has been a year with two faces. The first half of the year was still affected by the Covid-19 crisis in the Netherlands and the rest of the world. There was continuous attention and care for our people in their home working situation; meanwhile we were also preparing for the return to the office. The period was characterised by continuous uncertainty.
As we have finally seemed to overcome the pandemic and implemented our principles of ‘het Nieuwe Werken’, the second half of the year was dominated by the consequences of the war in Ukraine, with extremely high inflation rates and geopolitical uncertainties. Amidst all this, important long-term issues such as climate change, the nitrogen crisis, inequality in the housing market and the tight labour market were top of mind for society, the business community in the Netherlands and certainly also at Mazars.
The year 2021 / 2022 at Mazars was also characterised by the second period of our One24 strategy. We continued to work on the themes and objectives:
- Enhancing our service delivery model (Our clients)
- Fostering a true quality and risk management culture across the firm (Our quality)
- Care for and help develop our people (Our people)
- Evolving towards a more purposeful, sustainable and innovative organisation (Our environment)
- Sustaining our growth (Our financial results)
Following our strategic objective of becoming the 'Go-to firm', we have spent the past year working on a structured approach to developing our business. This is done from both an organisational and a go-to-market perspective. The organisational perspective is shaped by the business team consisting of representatives from the management team of the various service lines. The team composition underlines the multidisciplinary approach in our go-to-market strategy, in which we strongly believe. This is in line with the culture of our organisation and the international integrated approach that characterises Mazars.
Quality is essential. It is what our customers demand above all else, and it is what we deliver in all our work. We invest time and money to improve our training programmes, develop state-of-the-art technologies and promote innovation with a clear focus on our overarching system of quality management. Our goal is to embed a general and consistent culture of ethics and quality throughout our organisation.
Our people are at the heart of Mazars. In today's labour market, retaining and attracting the right people is a huge challenge at both national and international level. Talent development is a priority in our strategy and our objective, derived from our One24 strategy, is: 'Mazars, a global school of excellence, a great place to learn, for all'. All HR-related projects and activities contribute to achieving this objective.
"Sustainable business is more than ever a top priority. Our goal is to build and contribute to a fair and prosperous world. I am proud that we are taking this promise further every day. Personally, I want to continue to support the teams, expand our local and global organisation and make a modest contribution to a better society for future generations." Ton Tuinier Partner | Chairman of the Board
Covid-19 had a great impact on how we as a financial services company performed our work and collaborated with our clients. Staying successful and financially solid has been a challenge, not only for Mazars, but for many organisations. Despite the challenges, we have found ways to continue to deliver high-quality work to our clients, continue to pay attention to our people and their wellbeing while not losing sight of our impact on the climate and focusing on making our organisation more sustainable.
Our financial results
Consolidated turnover for 2021 / 2022 was € 138.2 million, up 11.2% on the 2020 / 2021 financial year. Our turnover increased substantially and our multidisciplinary strategy resulted in all services showing revenue growth. Audit & assurance shows the highest growth in absolute numbers, while Financial advisory grows the most in percentage terms, with almost a doubling of revenue, mainly due to one-off 'success fees' in the Corporate finance practice. Consulting also shows growth, although we expect this serviceline to grow much more in the coming years, especially with the new Sustainability serviceline from financial year 2022 / 2023. Tax and AOS both show stable revenue. Gross margin, which comprises revenue minus fee earners' costs, increased by 13.5% and in absolute terms from € 56.3 million in 2020 / 2021 to € 63.8 million in 2021 / 2022. We also have a healthy gross margin that ensures we remain future-proof.
For the 2022 / 2023 financial year, we expect organic growth in line with our strategic objectives, while we will continue to face the challenges of the labour market and the need to invest in quality, as well as the consequences of economic developments (inflation, uncertainties and post-Covid effects). Finding and retaining people remains our top priority. We do not expect any significant changes to our financing structure. The continued implementation of our One24 strategic plan will continue to drive our growth. Currently, we expect returns to be similar to 2021 / 2022. This includes the required investments in talent management, quality, sustainability and innovation, as well as the introduction of our new audit software Atlas.
Because of the efforts of all Mazarians, we achieved this great result. We celebrated this success with a one-time financial bonus for all Mazarians. We are doing well, proud of what we have achieved and full of confidence and energy for the future.
Mazars is a leading international audit, tax and advisory firm, aspiring to build the economic foundations of a fair and prosperous world. Operating as a united partnership, Mazars works as one integrated team, leveraging expertise, scale and cultural understanding to deliver exceptional and tailored services in audit and accounting, as well as tax, financial advisory, consulting en sustainability.
When working with us, you can expect the utmost quality within ethical and legal frameworks. Our clients’ trust in our judgement is the reason we exist. Mazars combines an in-depth knowledge of the regulations with a thorough insight of the market. In this way, we contribute to the sustainable yield of our clients and to society as a whole.
Mazars in the Netherlands is part of the Mazars Group. Mazars Group is present in over 95 countries, with more than 47,000 professionals – 30,000+ in our integrated partnership, 17,000+ via the Mazars North America Alliance – dedicated to helping clients make the most of business opportunities and operate with confidence.