Osborne Clarke’s turnover shot up by more than a quarter in 2013/14, from £112m to £142m, setting all staff members up for a 2 per cent bonus.
The preliminary results come off the back of a 14 per cent increase in revenue in 2012/13, from £98m to £112m, meaning that the firm’s revenue has increased by 40 per cent over the past two financial years (17 June 2013).
The firm is yet to announce its net profit figure, but managing partner Simon Beswick said he expects the total to increase on the £35m recorded in 2012/13. That was a 5 per cent drop on the £37m posted by Osborne Clarke the previous year.
The strong financial results are partly thanks to an uptick in revenue by the firm’s three UK offices, which generated £88.4m of the firm’s total last year – a 16 per cent increase on the £76.4m contributed in 2012/13.
Beswick said that the firm intends to divvy out a share of the profits, with every Osborne Clarke staff member receiving a 2 per cent uptick on their standard salary.
“When the firm does well we want to share the benefits with all involved,” he said. “If the firm generates a certain revenue beyond good performance, we distribute part to everyone by way of a profit share. It’s the first time we’ve done that since 2008.”
Beswick continued: “It’s been a great year. To us, the real reasons for our good growth are market conditions, our international expansion, and reaping the benefits of having a much tighter sector focus. Each of our sectors had a strong performance.”
Back in 2010, the firm identified four key sectors on which to focus its efforts: digital business, financial services, real estate and infrastructure, and energy and natural resources (14 May 2010). It has since added life sciences and healthcare, recruitment, retail, and transport and automotive to its roster.
The firm invested heavily in international expansion over the past year, opening new offices in Brussels, Paris and New York. Since the end of the financial year, it has also established its third US office in San Francisco’s South of Market neighbourhood (25 March 2014).
The move builds on the firm’s geographical expansion the previous year, when its merger with a number of European firms gifted Osborne Clarke new offices in Milan, Rome, Padova, Brescia, Madrid and Barcelona (29 March 2012). It currently has 15 offices scattered across Europe and the US.
Osborne Clarke’s 26 per cent uptick in revenue is the largest to be reported by any firm so far for the 2013/14 financial year. Over the course of the past week, Fladgate posted a 16 per cent turnover increase to £32.6m (30 April 2014). Charles Russell’s rose 7 per cent to £73.4m (7 May 2014), while Weightmans jumped up by 6 per cent to £87m (7 May 2014).