Top-50 UK firm Trowers & Hamlins has recorded increases in turnover and profit per equity partner (PEP) to recover from last year’s mixed financial results.
Revenue at the 400-lawyer firm rose 12% from £85.6m to £97m, while PEP also saw a marginal 1% increase from £310,000 to £312,000 for the 2016/17 financial year. The growth in PEP was underpinned by a 10% increase in net income, from £19.5m to £21.5m. However the firm’s equity spread remained largely flat, with top of equity at £450,000 and the bottom at £180,000.
The surge in top-line at Trowers has come as the firm made major investments in its commercial property, housing, banking & finance, construction and litigation practices over the year, reflected in the major headcount jump in both non-equity partners and overall lawyer headcount. The number of non-equity partners has grown 28%, while overall lawyer headcount has seen a 22% rise. For 2015/16, the firm recorded mixed results, with revenue increasing by 8% but PEP falling by the same amount.
Close to half (45%) of Trowers’ fee income came from its real estate practice over the past financial year, and the firm had some sizable mandates on that front. In September 2016, Trowers advised real estate investment management firm Apache Capital on a £145m tower development in Birmingham in September 2016.
Senior partner Jennie Gubbins said: ‘We have an established profile in the real estate sector, where we have focused on developing new client relationships while seeing increased instructions from existing clients on diverse projects.’
Other recent financial results have seen pensions boutique Sacker & Partners record a 16% drop in PEP to £794,000 as revenue remained unchanged.