Charles Russell’s turnover increased by 7 per cent in 2013/14 from £68.9m to £73.4m, marking a new record for the firm.
The results follow the previous year’s relatively static financial results, which saw revenue shuffle from £68.1m up to £68.9m. Net profit increased between 2011/12 and 2012/13 by 8.4 per cent from £12.6m to £13.7m, while profit per equity partner (PEP) rose by 11 per cent from £280,000 to £311,000 (15 August 2013).
The firm is yet to disclose its net profit for the 2013/14 financial year, but said that PEP is expected to rise to around £350,000. If that figure is achieved it would be the highest average PEP figure for Charles Russell since 2008/09, when the firm produced PEP of £390,000.
A spokesperson for Charles Russell said that growth was spread evenly throughout the firm.
Over the course of the 2013/14 financial year, the firm opened its sixth global office in the Qatari capital, Doha (15 August 2013).
It also kicked off merger talks with Speechly Bircham, which in 2012/13 recorded a turnover of £57m and PEP of £293,000 (28 June 2013). Given Charles Russell’s increased turnover, the tie-up would likely create a £130m firm – stealing a spot in the UK’s top 25 firms by revenue, according to The Lawyer UK200 (21 February 2014).
Charles Russell’s 7 per cent uptick in turnover is in line with the expected rise in revenue from the UK’s top 20 firms. According to a survey conducted by The Lawyer last month, the majority are predicting an increase of at least 5 per cent for the year ending April 2014 (22 April 2014).
Earlier this year the firm’s 2012/13 LLP accounts showed a reduction in bank debt. Despite continuing to pay off a term loan of £11m taken out in 2009 to pay for the fit-out of its Fleet Street offices, outstanding borrowings last year shrank to £6.6m (10 January 2014).