LAW FIRM Allen & Overy said this morning that it had seen a noticeable pick-up in activity since the start of the year, as it revealed slower growth in both turnover and profits.
The firm, which last year helped HKEx seal its £1.4bn takeover of the London Metal Exchange, posted profits before tax of £496.7m in the year to 30 April 2013.
This marked a rise of 2.2 per cent from the previous year on turnover that inched up 0.6 per cent to £1.19bn.
Profit per equity partner, often used as an indicator of a law firm’s performance, was flat at £1.1m.
Allen & Overy said that the results reflected a year of consolidation for the firm against a challenging backdrop, but that recent signs of life in the market were heartening.
“While 2013 has been flat overall, there was a noticeable improvement in the fourth quarter and early signs for this year continue to be encouraging,” said managing partner Wim Dejonghe.
Meanwhile figures from fellow City firm DLA Piper showed revenues in its international business – excluding its US arm – rose 11 per cent in 2012, climbing from £702m to £781m.
The latest financials, which were first reported by Legal Week, mean the non-US part of the firm now brings in more in revenues than the US arm for the first time. US turnover for 2012 was £759m.
Profits per partner rose to £674,000 from £596,000 the year before.However, the number of equity partners at the firm – which moved to an all-equity partnership last May – dropped from 230 to 212, according to the results.