Macfarlanes Hikes Profit and PEP By Double Digits, Adds London Ropes Partner
The firm's operating profits jumped almost 14% while its revenue hit £237.6 million.
By Meganne Tillay / August 03, 2020
Macfarlanes's financial results for 2019-20 are positive compared to some rival firms.
Macfarlanes revenue, profits and and profit per equity partner (PEP) all leaped in the financial year 2019-20, the firm has announced, in sharp contrast to its U.K. rival Travers Smith.
Macfarlanes has also announced the hire of London Ropes & Gray finance partner Malcolm Hitching.
The firm's operating profit went up 13.8% to £126 million, while its turnover increased 9.5% to £237.6 million. The firm's PEP, meanwhile, increased by 10% to £1.9 million, from £1.7 million previously.
The results are in sharp contrast to Travers Smith, which in June announced its PEP fell 20% year-on-year to "approximately 1 million", while its profits dipped by 11% and its revenues by 1% to £160.9 million during the last financial year.
Hitching joins the firm after four years at Ropes & Gray. He previously spent 13 years at Herbert Smith Freehills in London, where he headed the global finance practice for five years.
Macfarlanes senior partner, Sebastian Pritchard Jones, said in a statement: "The 2019/20 financial year was unusual in a number of respects but ultimately turned out fine. There are many reasons why the year might have turned out differently and more negatively (including the governmental situation, elections, Brexit and then COVID-19/lockdown).
"We were fortunate in that our clients remained active right across our three main practice areas (transactions, disputes and advisory). Looking ahead, the picture is unclear. Given the overall economic situation, we expect the 2020/21 year to be challenging for the market as a whole."