Building on last year’s record performance, Herbert Smith Freehills has achieved its 11th consecutive year of annual revenue growth in its latest financial results.
The firm reported a 10% increase in revenue, rising from £1.186bn to £1.306bn. Net profit and profit per equity partner (PEP) also saw strong growth, with increases of 14.5% and 12% respectively. PEP rose from £1.173m to £1.315m, while total profit went from £388.2m to £444.5m.
Reflecting on this sustained growth in a statement, CEO Justin D’Agostino commented: ‘Our focus on our clients, core practices and priority sectors keep up in the leading pack of international law firms.’
He continued: ‘Our strategy has strong momentum, delivering continuous and sustainable growth across all practice areas and regions. Our well-hedged international business across a broad mix of geographies, sectors and practices makes the firm resilient.’
The firm identifies the UK as a very strong performer, and notes growth across Australia, Asia, EMEA, and the US.
‘We remain committed to our international network, investing strategically in areas such as private capital, energy transition, ESG and digital across all of our practice groups, sectors and regions’, said D’Agostino.
While last year HSF noted strength in disputes in a tough climate for transactional work, this year the firm was positive on its performance across the board: ‘our ‘twin-engines’ of transactional and contentious expertise drive our business forward’, said D’Agostino.
Disputes highlights include acting for US chip design company R2 Semiconductor in High Court proceedings against Intel concerning semiconductor patents, as well as successfully representing the Human Dignity Trust on a pro bono basis in Mauritius Supreme Court proceedings that ruled legislation criminalising private, same-sex, consensual activity was unconstitutional.
In the transactional space, notable mandates include advising Stonepeak on its €730 million acquisition of a 49% stake in Cellnex Nordics from Cellnex Telecom. Furthermore, HSF assisted Interpath Advisory in the sale of Toucan Energy’s solar portfolio to Schroders Greencoat for approximately £700m.
HSF expanded its global team with 14 new lateral partner hires across all regions. In its latest promotion round, the firm appointed 27 new partners, with 52% of these promotions going to women. This contributes to HSF’s overall female partnership, which now stands at 33%, marking an 18% increase since the establishment of gender targets in 2014. Looking ahead, HSF aims to achieve 40% female partners by May 2030, with aspirations for parity — 50% representation — in certain parts of the firm, such as Australia, in that time.
In addition to its personnel achievements, HSF reported providing over 80,000 hours of pro bono advice globally, and remains committed to supporting innovators and entrepreneurs through initiatives like The Earthshot Prize. This year, the firm also launched its Leading Digital Delivery practice.
D’Agostino commented: ‘I am proud of our achievements in the face of significant change and challenge in many of our markets. We continue to work closely with our clients to navigate this new world, by getting ahead of their opportunities, needs and concerns.’
