Profits per equity partner (PEP) at O’Melveny grew by less than half-a-percent in 2007, shifting from $1.63m (£835,000) in 2006 to $1.634m (£837,000) last year. The move represents an increase of just 0.3%.
However the firm saw a more significant improvement in revenues, with fee income rising by 7.5% to $934m (£478.5m), up from $869m (£445.2m) in 2006.
The firm made around 12 lateral partner hires worldwide, including two partners from Watson Farley & Williams to launch its City disputes practice and a four-partner restructuring team in New York from Stroock & Stroock & Lavan.
Commenting on the results, O’Melveny chairman Arthur Culvahouse said: “Our solid revenue performance allowed us to record our seventh straight year of increased profitability, while funding very substantial investments for the future in London, Asia and the US.
“Even though we were not immune to the downturn in US and European deal-flow caused by the turmoil in the credit markets, our transactions practice enjoyed year-on-year revenue growth of 15% firmwide.”
In contrast, California rival Wilson Sonsini Goodrich & Rosati posted revenue growth of almost 13%, with fee income at the Palo Alto-based firm climbing from $471m (£241m) in 2006 to a new mark of $531m (£272m).
The firm also saw PEP rise by just under 10% from $1.31m (£671,200) to $1.44m (£737,000).
