Transatlantic firm Hogan Lovells has become the latest to publish its limited liability partnership (LLP) accounts for the 2013/14 financial year, and has recorded a 3.9% revenue boost in its International LLP from £581m to £604m.
With the accounts dating to 30 April 2014 and excluding its Americas business, the firm also recorded a 2.8% decrease in profit before tax to £200m from £205m while profit for division among equity members fell from £172m to £163m. Operating expenses saw staff costs increase by 3.8% to £251m from £242m the year before as the number of fee earners increased by 40 members to 1,567 from 1,527 and the number of support staff dipped slightly to 1,438 from 1,449. Staff costs incurred during the year included salaries of £223m while average profit per equity member dropped to £785,000 from £801,000. Like previous years, the firm has no net debt outstanding.
The key management team was paid £9m in the 2013/14 financial year, up from the £8.6m they received in 2012/13, but the fillings also confirmed that the firm’s chief financial officer Richard Olver had resigned as of 31 December 2014.
The revenue boost marks a change from last year when it fell 1.6% from £591m to £581m, which the firm attributed to the weakening of the euro against Sterling during the relevant period. Operating expenses at the time, meanwhile, recorded a 14% drop from £145m to £124m, which the firm said reflected higher expenses in 2011/12 due to the one-off costs associated with surplus office space.
With its annual financials for the calendar year (ending 31 December 2014) set to be released next week, it follows a year of strategic investment made by the firm, including bolstering its Asia presence with Gide Loyrette Nouel’s Vietnam head, Samantha Campbell, to lead its offices in Hanoi and Ho Chi Minh City, and Paul Hastings project finance head Joseph Kim to its Tokyo finance practice, while Kirkland & Ellis corporate partner Steven Tran was brought into the Hong Kong corporate practice in September.
On the LLP results, a firm spokesperson said: ‘Our results reflect genuine growth and demonstrate the strength of the firm’s breadth of practice and sector expertise, particularly in financial services, energy and life sciences/pharmaceuticals’.