Latham & Watkins saw global revenue surge by 23% in 2024 to a record high of $7bn, with the growth in fee income helping profit per equity partner (PEP) soar by almost 30% to surpass $7m.
The firm’s turnover climbed by $1.3bn during the last calendar year to a new high of $7bn, up from $5.7bn the previous year. The increase is significantly more than the 11% growth Latham posted last year and means that the firm has more than doubled its revenue over the last seven years.
PEP hit $7.1m in 2024, up from $5.5m in 2023 – more than double the $3.5m recorded in the 2019 Global 100 table.
Revenue per lawyer (RPL) climbed 18%, from $1.65m to $1.95m, fueled by strong double-digit growth across key practice areas, including M&A, private equity, capital markets, banking, complex commercial litigation, and antitrust & competition.
Commenting on the firm’s performance, chair and managing partner Rich Trobman (pictured above) said: ‘We were at the centre of many of the year’s landmark deals and high profile cases, helping our clients seize opportunities, navigate challenges, and stay ahead of market shifts.’
While Latham does not disclose office-specific revenue, it is understood that London brought in an estimated $850m in turnover, with year-on-year growth up slightly more than the firm-wide average at 25%.
In a conversation with Legal Business on his first 100 days as City office head, Latham’s London managing partner Ed Barnett described the office as ‘driven, ambitious, and innovative’, emphasizing M&A, private equity, leveraged finance, capital markets, restructuring, litigation, and regulatory as key areas of focus.
The strong City performance comes despite the firm seeing a number of departures. High-yield partners Scott Colwell and Patrick Kwak left for Sidley, in October, following a five-partner sponsor-side leveraged finance team exit in August, led by former London managing partner Jayanthi Sadanandan and Sam Hamilton.
However the firm has continued to invest in talent, with total headcount up nearly 4% year-on-year, from 3,450 lawyers in 2023 to 3,584 last year. London has been a particular growth area, expanding by close to 50% over the last five years.
Notable London additions in 2024 included white-collar specialist Pamela Reddy, recruited to help build out the City litigation practice, and a banking and finance trio – Jonathan Brownson, Joydeep Choudhuri, and Prue Criddle – from Cahill Gordon & Reindel’s London office.
Further reinforcing its UK presence into 2025, the firm also welcomed banking partner Hugh O’Sullivan in January as well as tech partner Sophie Goossens and tax partner Serena Lee in February.
The firm also reformed its pay structure to better reward top performers, introducing a super points tier in reforms approved by partners last July. Latham introduced two additional tiers of 1,300 points and 1,700 points on top of its core modified lockstep of 350-900 points, as well as a bonus pool of up to 15% of its profits available for discretionary division among partners.
Fourteen partners worldwide are understood to sit on the first additional tier at 1,300 points, with a further eight now on the maximum 1,700 points. Two partners in London – including chair Richard Trobman – are understood to be at the top level. All of the remaining super pointers are based in the US.
‘We remain dedicated to serving as the go-to advisor for our clients. Our commitment to client service, excellence, and teamwork continues to drive us forward as we pursue our ambitious goals this year and into the future,’ Trobman concluded.
