Bird & Bird has seen revenues soar by just under 30% during the last financial year in part boosted by a merger with a City boutique and a tie up with a Finnish firm.

The top 25 firm has reported gross revenues of £186.3m during 2008-09, a 29.6% increase on the £143.7m brought in during 2007-08.

Despite the turnover growth profits per equity partner (PEP) fell over the period and stood at £481,000 for the year, representing a 6.5% drop on the previous year's figure of £515,000.

The significant growth in revenue is partly attributable to October's merger with 30 lawyer Lane & Partners and last May's tie-up with Finnish firm Fennica.

Bird & Bird said that 9% of the revenue was attributable to the firm's expansion, which also included a simultaneous launch last summer in Hungary, Poland, Slovakia and the Czech Republic. The revenue figure was further inflated by around 9% by the strength of the Euro against the pound.

David Kerr (pictured), Bird & Bird's chief executive, said: "In challenging market conditions, the firm has performed comparatively well. Our focus on both transactional and contentious work has proven favourable in the current economic climate. Going forward our major focus will be on continuing to provide good value to clients and a great service across our wide geographic network."

Allen & Overy managed a robust performance despite its heavy exposure to the battered banking sector with the firm achieving a 7% increase in revenue last week.The firm announced that fee income for 2008-09 hit £1.091bn, against £1.016bn the previous year. Profits per equity partner (PEP) fell 9% to £1m, according to the firm's own measure, against £1.122m the previous year.