Addleshaw Goddard has boosted its profit per equity partner (PEP) by 16.7 per cent, but has fallen short of managing partner Mark Jones’ ambitious £500,000 target.
PEP reached £472,000, while the firm’s fee income increased to £161.2m in the 2005-06 financial year, representing a 16 per cent increase. The turnover increase includes an FRS5 uplift of £4.1m.
Jones said: “We’ll use our strong financial platform to reinforce our reputation as one of the group of leading UK firms immediately behind the magic circle.
“I think the average PEP for a firm in that group needs to be £500,000 and that’s where we wish to be. I’d love to be there as soon as possible. We had spectacular growth in 2004-05 and very good, solid growth in 2005-06.”
The firm, which laterally recruited 17 partners last year, is expected to continue its lateral investment after revealing that it had more than doubled its cash reserves to £15.9m.