Spanish leaders Uría and Cuatrecasas hike fees as confidence returns to battered market

Despite Spanish M&A values dropping significantly in 2013 and amid the country’s continuing well-publicised debt crisis, two of Spain’s big four law firms have reported an uptick in turnover as a note of optimism returns to Europe’s fourth-largest jurisdiction.

Deal value in 2013 was down from $47.6bn to $32.2bn, according to mergermarket, but with a substantially improving pipeline post summer 2013, Uría Menéndez last month reported the strongest growth of the four: a 2.9% increase in revenues for 2013.

Continue reading “Spanish leaders Uría and Cuatrecasas hike fees as confidence returns to battered market”

Outpaced – US firms’ 2013 City revenue increases overshadow global results

Outpaced – US firms’ 2013 City revenue increases overshadow global results

Aside from a notable shift towards growth, one of the most salient trends to emerge from 2013’s US financial results is the fact – and the extent to which – the London offices of America’s finest firms are outpacing their global recovery. Continue reading “Outpaced – US firms’ 2013 City revenue increases overshadow global results”

US financial results 2013: DLA achieves record revenue of $2.48bn as growth slows

US financial results 2013: DLA achieves record revenue of $2.48bn as growth slows

The highest-ever gross turnover but reduced growth figures was the message that came out of DLA Piper’s financials today (28 February), as the top Global 100 firm revealed a 1.7% increase in revenue to $2.48bn, while revenue per lawyer rose 3.3% to $625,000.

Profit per equity partner rose just 1% to $1.325m, while the global firm’s net income slipped 0.3% to $602m, although that still constitutes a significant improvement when compared with 2011 figures of $563m. Continue reading “US financial results 2013: DLA achieves record revenue of $2.48bn as growth slows”

US results season 2013: Hogan Lovells unveils highest post-merger results with 5.2% increase in turnover

US results season 2013: Hogan Lovells unveils highest post-merger results with 5.2% increase in turnover

Transatlantic firm Hogan Lovells has today (27 February) unveiled its highest post-merger global financial results, posting a fee-income increase of 5.2% while profit per equity partner (PEP) and revenue per lawyer (RPL) increased by 10% and 3.7% respectively.

Fee-income increased to $1.72bn, while PEP rose to $1.21m and RPL was up to $742,613. Across the regions, the Americas represented approximately 46% of total billings, while London and Continental Europe together equalled 47%, and the Asia & Middle East region totalled 7%. Continue reading “US results season 2013: Hogan Lovells unveils highest post-merger results with 5.2% increase in turnover”

US financial results 2013: Paul Weiss builds on 2012 success with revenue increase of 7%

US financial results 2013: Paul Weiss builds on 2012 success with revenue increase of 7%

New York elite firm Paul, Weiss, Rifkind, Wharton & Garrison has built on its double-digit growth of 2012 by turning out a near 7% increase in revenue for 2013, up to $934.5m, while its profit per equity partner (PEP) figure rose by 8% to $3.62m.

The results follow the 803-lawyer firm’s 12% increase in turnover to $877m in 2012, coupled with a 6% increase in PEP to $3.35m. Much of the top 40 Global 100 firm’s success is credited to its top flight litigation practice, which has represented major financial institutions such as Bank of New York Mellon in its defence against a $1bn claim last May. Continue reading “US financial results 2013: Paul Weiss builds on 2012 success with revenue increase of 7%”

US results season 2013: McDermott and King & Spalding post 4% increase in revenue

US results season 2013: McDermott and King & Spalding post 4% increase in revenue

Chicago-headquartered firm McDermott Will & Emery has continued its post-financial crisis recovery, unveiling a 3.5% increase in revenue to $881m, as close US rival in revenue terms, King & Spalding sees its turnover increase by 4% to $861.4m.

McDermott’s net income also grew in 2013, with a 7% increase to $297m, fuelling an increase in profit per equity partner (PEP) to $1.545m. The top 40 Global 100 firm’s profit margin rose by a percentage point to 34%, while its revenue per lawyer increased by 4.2% to $865,000. Continue reading “US results season 2013: McDermott and King & Spalding post 4% increase in revenue”

US financial results 2013: Latham sees moderate growth in PEP and revenue

US financial results 2013: Latham sees moderate growth in PEP and revenue

Still basking in London in the news that it has hired leading Clifford Chance (CC) private equity partner Kem Ihenacho, Latham & Watkins yesterday (19 February) released moderate US growth figures for 2013, with revenue up by 2.7% to $2.29bn.

Profit per partner has increased by almost 2% to $2,490,000, up from $2,443,000 the previous financial year. Revenue per lawyer has also increased by a modest 1.4% to $1,110,000 from a 2012 figure of $1,095,000. Continue reading “US financial results 2013: Latham sees moderate growth in PEP and revenue”

The New New Normal – a changing market beckons for 2014

The New New Normal – a changing market beckons for 2014

The last three years have drawn to a close heralding another 12 months much like those that went before: depressing. The eurozone flirting with break-up, fiscal woes holding back Western economies and a subdued legal market. Check, check and check.

But drawing to the end of 2013, commercial lawyers are facing an outlook that is, in highly relative terms, not half bad. The word from senior City partners has been generally upbeat since the summer. The first half financial results have, if anything, exceeded those raised expectations. We are looking at the best set of like-for-like financial results seen for five years from major UK law firms. Even allowing for the weak comparison point of H1 2012/13, early numbers are robust across a wide range of firms.

Continue reading “The New New Normal – a changing market beckons for 2014”

Investment costs: DAC Beachcroft issues £10m cash call amid positive half-year financials

Investment costs: DAC Beachcroft issues £10m cash call amid positive half-year financials

DAC Beachcroft has issued a £10m cash call to LLP members and simultaneously increased its rolling credit facility to £40m, as it aims to reach target revenue of £200m by the end of the financial year.

The top 30 firm, which merged with Davies Arnold Cooper in 2011, announced today (18 November) that its half-year results for 2013/14 amounted to £90m in total billings for the six-month period to 31 October, an increase of 7% compared to the first half of last year. Senior partner Simon Hodson told Legal Business he believes the results were ‘quite strong.’ This increase is on top of a 15% rise in revenues for the financial year 2012/13 to £188.2m.

Continue reading “Investment costs: DAC Beachcroft issues £10m cash call amid positive half-year financials”

Administrators give behind-the-scenes insight into Manches takeover by Penningtons

Administrators give behind-the-scenes insight into Manches takeover by Penningtons

Penningtons’ takeover of troubled Manches last month says almost as much about the state of the legal market as it does of the firms involved, although, Manches’ administrators say, there are clear lessons to be learned.

On 15 October, 265 Manches employees, including 46 partners officially moved to Penningtons in a pre-pack deal brokered by PwC.

Manches had been earmarked for a merger by the LB100 this summer, after its revenues dropped by 13% to £26.3m – a drop of 11 places to 93 – and its profits per equity partner slid by 43% to £134,000.

Continue reading “Administrators give behind-the-scenes insight into Manches takeover by Penningtons”