Hill Dickinson has posted revenues of £96.8m for the 2017-18 financial year, a 5% decrease on last year.

The fall in revenue, down from £101.7m in 2016-17, came alongside a 7% increase in profit per equity partner (PEP) from £274,000 to £294,000. Profit for distribution among the partnership was £15.7m.

The rise in PEP follows a 12.7% fall between the 2015-16 and 2016-17 financial years. Debt at the firm fell, with total borrowings down to £1.23m and net debt decreasing to £1.8m.

Last October, the firm agreed to transfer its £23m insurance business to Keoghs, with 16 partners and about 400 other fee earners and staff across Liverpool, London and Manchester moving over to the Bolton-based firm, a deal that was completed in February.

Hill Dickinson CEO Peter Jackson (pictured) told Legal Week that while the deal saw the firm relinquish a business with a value of £23m, the firm only lost £7m of that revenue due to growth in other practices such as health.

Jackson (pictured) said: "The defining feature of the year was the deal with Keoghs – being able to achieve that became an absolute fundamental and getting it done was a great success.

"The two models required to run a volume insurance business and the commercial insurance business have been drifting apart. We saw a shrinking top line as part of the business leaving, but an upturn in relative profit generated and PEP."

The year also saw Hill Dickinson open its fifth UK office with a health-focused launch in Leeds, an opening that Jackson said "has proven to be a good move" that is "integrating well with the rest of the business". The firm also won panel appointments with retailer JD Sports, the Co-operative Group and the NHS Resolution panel.

On the coming financial year, Jackson said: "You shouldn't expect and mergers or acquisitions from us. This is a time to consolidate the new businesses, although we are looking to attract people and teams to the business. There is a real feelgood factor around the firm."

Meanwhile, fellow UK top 50 firm Watson Farley & Williams has posted a single-digit revenue increase for 2017-18, with global fee income up 3% to £162.9m.

During the year, the firm secured a new Singapore tie-up via a formal law alliance with local firm Wong Tan & Molly Lim, while it also secured an appointment to Societe Generale's international legal panel.

Managing partner Chris Lowe said: "We're pleased to have increased our fee income once again in line with our budget for 2017-18. It demonstrates the ongoing success of our integrated sector focused strategy."

This April, four partners including aviation head Rex Rosales left to join Herbert Smith Freehills, although the firm restocked its partnership this May with the promotion of nine lawyers including three in London.