Baker & McKenzie’s London office saw turnover drop by just over 3 per cent during the last financial year, down from £119.8m to £115.7m.
Average profit per equity partner (PEP) in the City dropped by 33 per cent down to £380,000 from £572,000 in 2007-08.
The firm a whole performed better in PEP terms than the London office, with global PEP dropping 17 per cent during the same period.
The US firm, which has a 31 June year end, reported a global PEP of $992,000 (£597,160), down from $1.1m during the previous year.
Firmwide turnover decreased by 3 per cent, from $2.17bn in 2007-08 to $2.11bn.
Bakers chairman John Conroy said: “The downturn presented a lot of challenges for all global firms, but we’re still able to see growth in certain areas. Last year we made hires into IP and employment.”
Conroy added that the firm’s offices in London, Brazil and Tokyo have started to see increased activity and recovery from the downturn.
The firm’s London managing partner Gary Senior (pictured) added: “Half of our office is focused on transactional work. December and January were tough but we’ve definitely seen a pick up since then.”
Bakers completed two rounds of redundancies during the last financial year, shedding around 50 associates in the City.