Kennedys posts 10 per cent turnover rise to £128.5m

Kennedys has reported a 10 per cent increase in turnover to £128.5m for 2013/14 from £117m in 2012/13.

It was the third consecutive year of growth for the firm, following a 9 per cent rise in turnover from £109m in 2011/12, and an 11.6 per cent rise the previous year.

Around a third of the firm’s revenue – £98.3m – is from UK activity alone, helped in part by the merger with aviation boutique Gates & Partners in May 2013 (31 May 2013).The deal also boosted income in Singapore and Dubai.

Kennedys pressed on with its strategy to expand internationally last year, entering into an association with Bogota-based insurance litigation and arbitration boutique Botero Salazar Tobón & Abogados (BST) (6 September 2013).  

It was the firm’s fourth association in South America, already having forged agreements with Fabio Torres & Associados in Sao Paulo and Rio de Janeiro, Acuña & Cia in Santiago and with Bufete Solís Marín in Mexico (6 June 2011).

Closer to home an attempted tie-up with Scottish firm Simpson Marwick was called off in December. The firm cited “complex reasons” for the collapse of talks, believed to have been primarily issues with differing regulatory climates in the two jurisdictions (11 December 2013).

Kennedys was one of the first firms to launch a consultation with its partners in response to HM Revenue & Customs’ (HMRC) proposed changes to the partnership tax regime earlier this year.

The consultation led a request for fixed-share partners (FSPs) to top up their capital contributions to 30 per cent of their salaries, for which the firm used its existing banking facility to issue the cash call to 60 or so B, or fixed-share, equity partners (15 May 2014).

The firm made five lateral hires throughout 2012/13. CMS Cameron McKenna capital markets partner Michael Skrbic joined in London, DLA Piper costs lawyer Martin Cox joined in Sheffield, DAC Beachcroft professional indemnity lawyer Claire Bushen and Freeth Cartwright sport and entertainment lawyer Simon Taylor joined in Manchester (20 May 2013), and Henmans Freeth professional indemnity lawyer Andrew Crocombe joined in Taunton.