Bakers revenue up a fifth; London lags behind

Bakers revenue up a fifth; London lags behindBaker & McKenzie has shrugged off the collapse of merger talks with Heller Ehrman by announcing turnover growth of 20 per cent for the year to the end of June.

Firmwide revenues for the 12 months stood at $2.19bn (£1.09bn at the end of June), up from $1.83bn (£910m at the time) last year.

Growth in London, which accounts for around 12 per cent of the firm’s total turnover, lagged that of the firm as a whole, coming in at 10 per cent.

London managing partner Gary Senior (pictured) said that while the London practice had been hit by conditions in the wider economy, 10 per cent growth was a “pretty decent result”.

The firm’s corporate group remains the biggest generator of turnover in London, accounting for 30 per cent of total revenues.

While transactional work slowed over the year, Senior said the results were bolstered by the fact that much of the work being done in London originates from outside the UK.

Europe and the Middle East generated 42 per cent of total profit, while the Americas accounted for 32 per cent and Asia Pacific 26 per cent.

In terms of profitability, while the firm operates different remuneration systems in different jurisdictions, the average profit per partner figure for the year was $1.2m (£640,000), up from $1.06m (£530,000 at the time) a year ago.

Firmwide chairman John Conroy said that on the back of the results, the firm would be focusing on investing in areas such as client development and talent management. He added that a merger also remains an option for the firm.

Refusing to comment on the shelved Heller merger plans, Conroy said only: “We are looking at opportunities to grow our strategy in a number of markets and at any one time we are in talks with a number of firms.”

In London, all staff have received a bonus of 4 per cent of their salaries on the back of the firm’s results. This is the second time London staff have received the payment, after being handed a 5 per cent bonus last year.