Hogan Lovells’ revenue outside the US dropped from £590.6m to £581.4m over the course of the 2012/13 financial year, according to the firm’s international LLP accounts.
The drop is similar to the 1.9 per cent fall in firmwide revenue reported last year (1 March 2013), which includes Hogan Lovells’ US operations.
Despite the turnover drop, a £20m cut in operating expenses led to a 5.1 per cent increase in net profit, from £192m to £202m. Hogan Lovells’ average profit per equity partner also rose from £761,000 to £811,000 between 2011/12 and 2012/13, with the total number of equity partners holding steady at 215.
Hogan Lovells’ group members drew a total of £165.5m in 2012/13, an increase on the £147.2m recorded the previous year. The figure marks a substantial uptick on the £118.1m drawn in 2010/11 (8 February 2013).
The amount of cash held in the bank remained fairly steady at the £61.2m mark, just down from £61.8m the previous year. Hogan Lovells has £60m of bank facilities which it did not use last year. These are in the process of being replaced or renewed during the current financial year. The firm reported a minimal increase in its bank overdraft, from £0 in 2011/12 to £388,000 last year.
Hogan Lovell’s key management team took home £8.6m between them last year – a pay rise of £500,000 on the previous year.
The firm is currently in gearing up for a change of leadership in June, when joint CEOs Warren Gorrell and David Harris stand down to be replaced by US co-head of litigation Steven Immelt (11 December 2013).