Dechert‘s financials for 2016 show revenue has risen 3% to $911.5m, while profit per equity partner (PEP) increased by 2% to $2.6m, mostly off the back of solid growth in London of 19% in billed and received work.
While PEP increased slightly from $2.5m in 2015 to $2.6m last year, revenue per lawyer (RPL) fell by 1% to $995,000. Net income fell by 2.2% to $400.5m from $409.8m.
Dechert chief executive Henry Nassau said practice areas like corporate and securities, financial services and internal investigations/white collar crime as the biggest drivers of growth. White collar crime in particular grew by 60% from 2015.
The number of equity partners in the firm contracted by 4% from 163 in 2015 to 157 last year, but was balanced by 20 lateral hires overall in 2016. Meanwhile the non-equity ranks grew by 10% to 135, from 122 in 2015.
Nassau (pictured) added that currency fluctuations had a negative impact on revenue to the tune of $8m. He said: ‘We are a global firm with currency fluctuations equally impacting revenue and expenses – so the impact is on our margins and is not as significant as might first appear.’
He added: ‘We’ve increased our compensation, and as we are focused on having a meaningful, strong presence in global capital markets, our infrastructure costs reflect our expansion in London, New York and Washington.’
Overall, the firm lost nine partners in lateral moves, and hired 20. Out of the 20, only one partner was of ethnic minority.
In November last year, Dechert strengthened its private equity and finance practices in London hiring White & Case’s Ross Allardice and Kirkland & Ellis partner John Markland to boost its presence in the City.
georgiana.tudor@legalease.co.uk