Addleshaw Goddard and Osborne Clarke (OC) have both broken the £500,000 average profits per equity partner (PEP) barrier for the first time after posting strong financial results for 2006-07.
Addleshaws managed a 14.8% rise in PEP to hit £542,000, while turnover at the national firm was up 13.1% to a new mark of £176.7m.
Addleshaws’ real estate department generated the most fees, billing £54.4m. The litigation practice billed £50.8m, while corporate managed £37m and finance and projects pulled in £34.5m.
Commenting on the results, Addleshaws managing partner Mark Jones said: “We continue to make real progress and these results reflect a period of balanced growth and sound financial management across all parts of our business.”
At OC, meanwhile, PEP surged by a fifth (20%) to reach £511,000, up from £425,000 last year. Fee income at the 111-partner firm rose 12% from the previous mark of £74.1m to hit £82.8m for the last 12 months.
A 30% hike in total profits generated a bumper bonus pool at the Bristol powerhouse, with the firm dishing out bonus payments of 25% of salary for the firm’s highest performers. The scheme, which marks the largest-ever bonus handout at OC, will see a 6% slice of profits set aside for all employees.
OC managing partner Simon Beswick said: “This has been an exceptional year for Osborne Clarke. It is particularly pleasing to be able to reward all our staff for their hard work and commitment.”
The figures mark the latest strong financial results released by national firms so far this year. Last week Newcastle’s Dickinson Dees announced a 14% rise in partner profits to hit £366,000, while turnover at the Newcastle giant rose 17% to reach £56m – up from £47.8m during the previous year.