08:09, March 13 338 0

2017-03-13 08:09:06
DLA Piper revenue drops 3 per cent amid profit uplift

DLA Piper’s net profit rose by 6 per cent to $643.5m (£527.1m) last year, while revenue declined by 3 per cent.

Net profit rose from $605.3m (£495.9m) during 2016 after falling nearly 10 per cent in the 2015 financial year.

International results show gross revenue went down 3 per cent from $2.54bn to $2.47bn, while average profit per equity partner saw a 6 per cent rise to $1.7m.

Revenue per lawyer grew slightly by 1 per cent from $677,100 to $683,000 amid a drop in lawyer numbers to 3,756. Last year headcount stood at 3615.

Commenting on the results, co-global CEO of the firm Simon Levine said, “The transactional groups softened in the second half of the year post Brexit but nothing like as much as people might have feared.

“That softening was made up by the fact that the regulatory litigation side of the business such as IP, tech, employment and tax performed strongly.”

Chief financial officer Paul Edwards added, “Brexit hadn’t had a dramatic impact – beyond the very obvious one of the currency with a weakening against Europe and the US dollar.”

“The fact that we pay everyone in the local currency and set their profit shares in that same currency meant we could hedge these currency variations and remain relatively safe,” he added.

DLA Piper recently told fee-earners their salary reviews scheduled for May will be postponed by two months in order for the firm to benchmark its next wage increase against its competitors.