Allen & Overy posts healthy revenue rise for first half but says debt crisis will affect rest of the year

Elizabeth Fournier
MAGIC circle law firm Allen & Overy has seen an 11 per cent rise in revenue at the mid-way point of its financial year, hitting £582m.

But managing partner Wim Dejonghe warned that headwinds could slow growth over the next six months, with the firm’s “healthy” performance unlikely to be matched in the second half.

“We have delivered a healthy performance in the first half of the year, however with the Eurozone sovereign debt crisis and the US credit rating downgrade, we expect the second half to be slow,” he said.

Turnover in the six months to 31 October rose by £56m from £526m at the half-way point last year, with the firm crediting strong performances in Australia, France, Germany, and Indonesia for the growth.

Over the past six months Allen & Overy has continued its expansion into new markets, opening new offices in both Casablanca and Washington DC.

At its 2010-11 results in July, A&O posted a six per cent rise in profits on a seven per cent jump in revenue, with worldwide turnover for the year hitting £1.12bn.

Profits per partner remained flat at £1.1m, though this was partly because of a 12 per cent rise in the number of equity partners at the firm.