Legal Business Blogs

Hitting the target: Gateley posts 11% rise in revenue in first post-IPO results

The UK’s first listed law firm Gateley has hit its revenue target by achieving a 10.9% rise to £29.6m, up from £26.7m in 2014, in audited half year results released today (15 December).

The West-Midlands based firm also lifted profit before tax by 11.5% to £2.9m, higher than the pro-forma figure of £2.6m last year, while adjusted EBITDA was up 40.6% to £4.5m, from £3.2m over the same period, which was also a pro-forma figure.

During the six month period to 31 October 2015, basic earnings per share was up 5% to 2p, from a pro-forma 1.9p in 2014, while Gateley also declared its first interim dividend of 1.895p.

Gateley said in November it was on track to lift revenues by 10% to take the firm’s revenue increase over the last six months to just short of the £30m mark.

It has been an interesting year for Gateley, which became the first UK-listed law firm on the Alternative Investment Market in June raising £30m on its first initial public offering.

Since the beginning of May, Gateley had taken on eight new lateral partner hires with overall staff numbers increasing from 604 to 622 over the six month reporting period.

Gateley chief executive officer Michael Ward said: ‘The group’s ability to deliver a strong first half performance, in an improving but challenging market, whilst at the same time transitioning the business from an LLP to a Plc not only highlights the capabilities of the senior management team but also reconfirms our strategy of using our more flexible Plc status to enhance shareholder value through organic growth and strategic acquisitions.’

‘These results represent a very solid start to our life as a Plc and I believe will serve to further raise our profile, differentiate us from our direct competitors and attract quality staff.’

Gateley joins DAC Beachcroft, Nabarro, Allen & Overy, Osborne Clarke and Clyde & Co in announcing half year results this quarter.

For further analysis of Gateley and its listing see the feature: ‘Selling the family silver: Will Gateley’s listing on London’s stock exchange pay off?’