Travers Smith sees PEP soar 53 per cent to £705,000
Travers Smith has staged a stunning financial recovery, with revenues projected to be £72m for the 2009-10 financial year.
Andrew Lilley
This represents an increase of 12 per cent from last year’s turnover of £64.5m, although the firm has yet to recover its record performance of 2008, when it posted £81m in revenues.
Travers’ average profit per equity partner (PEP) saw an even more dramatic rebound, from £460,000 to £705,000 - an increase of 53 per cent. In 2008 its PEP stood at £755,000.
Managing partner Andrew Lilley said: “The improvement in our performance, compared with the preceding year, reflects the fact that we were fortunate to have a good run from around October 2009 leading to increased levels of activity across the firm, in particular our private equity, finance/restructuring and litigation teams.”
Readers' comments (6)
Anonymous | 9-Jul-2010 10:01 am
The large number of stealth redundancies seem to have done the trick.
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Anonymous | 9-Jul-2010 4:34 pm
Nice half-arsed swipe.
I somehow doubt any amount of stealth redundancies could turn around PEP to that form.
TS were always a firm who knew what they were good at, and stuck to it, constantly improving. A lot of other firms could learn a lesson or two from them.
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Anonymous | 10-Jul-2010 3:47 pm
Do the maths. Turnover increased by 12%, profit by 53%.
It wouldn't take Einstein to work out there's been significant cost cutting.
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Dorian Rees | 11-Jul-2010 9:10 am
I would like to depart from the usual sniping and offer my congratulations to Travers Smith. Quite staggering results given the context.
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Ashley Balls | 12-Jul-2010 11:16 pm
An award for maths, surely not - membership of the Magic Circle might be better. The art of illusion is not dead. Cost cutting only works once and when all the competition have taken similar steps the gains are lost and a new 'normal' emerges. One question managing partners seem to be ducking is; As we move forward into a world of corporatised legal services delivery are clients going to glibly accept margins that are typically 3-5 times those of a well run public company?
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anonymous | 16-Jul-2010 8:16 pm
Cutting great swathes of associates has clearly had its benefits, although the current exodus of those who survived the cull may well impact next year's profits. It will certainly hit morale - again - and contribute the the erosion of the firm's image as a mid-sized firm that plays fair.
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