Following the pattern of other mid-tier firms, which have seen slower growth this year compared to the financial year 2014/15, Addleshaw Goddard has surpassed the £200m mark for 2015/16, with revenues up 5% to £201.8m.
Commenting on the results, Addleshaws’ managing partner John Joyce said the increase was a result of a plan set in motion two years ago to improve business focus, performance and returns – with the transactional and international teams performing particularly well. However unsurprisingly wider macro-economic issues had a negative effect on the top line.
On Brexit he told Legal Business: ‘Last year would fall into two halves, except they are not halves they are quarters. We definitely say a Brexit downturn from January really and if Brexit hadn’t happened we wouldn’t have that number. We are a transactional firm and that means we were more affected by Brexit.’
In a statement Joyce (pictured) added: ‘We are thankful that a lot of the measures we have taken over the last two years leave the firm not only in an incredibly strong position but also very well positioned with an improved platform, client portfolio and sector focus. Delivering sales growth is a key imperative for us this year but will clearly be a challenge.’
It has been a busy year for the national thoroughbred, which entered into merger talks with Scottish independent Maclay Murray & Spens last November, only for Addleshaws to call off the deal a few months later amid claims that Maclay’s wanted better financial terms. In May this year, Addleshaws’ turned to the US for a transatlantic tie-up and is believed to still be in talks with Virginia-based Hunton & Williams in a deal which would see the mid-tier player realise its goal of becoming a £250m-lawyer firm by 2017/18.
In addition, partners are currently voting on a raft of changes to Addleshaws’ 20-year-old partnership deed which will impact on articles containing remuneration and management terms.
In March the firm elected corporate head Charles Penney to the role of senior partner. Penney, who took up the role on 1 May, replaced Monica Burch, who had been in the post since 2010.