Baker & McKenzie offices in New York.
Baker & McKenzie offices in New York. (Rick Kopstein)

Baker & McKenzie has posted an 8 percent revenue rise against a 13 percent jump in profits per equity partner (PEP) for 2015-16, after a strong year for the firm in the face of much economic uncertainty around the world.

The firm’s turnover rose to $2.62 billion during the year ending June 30 2016, up from $2.43 billion the previous year. Meanwhile, PEP grew to $1.3 million.

Baker & McKenzie said that on a constant currency basis, these increases equated to 16 percent for revenue and 21 percent for PEP, due to the strength of the dollar against most currencies over this period.

Net profit, meanwhile, grew by 14 percent to $904 million–22 percent growth on a constant currency basis.

The positive results come after a weaker 2014-15, during which the firm saw revenue dip 4 percent while PEP fell 12 percent.

Baker & McKenzie chairman Eduardo Leite said there were “a number of factors” behind the recovery in PEP and revenue this year. He highlighted growth in specific sectors, such as technology, which he said has generated more work. In terms of practice areas, Leite highlighted the firm’s M&A, tax, financial services, trade and commerce practices as outstanding performers.

The firm won 67 major panel appointments during the year and took roles on significant deals, including the $5 billion acquisition of U.S. insurance firm StanCorp Financial Group by Japan’s Meiji Yasuda Life Insurance Company.

Leite added that the firm’s financial performance was boosted by an improvement in client service delivery.

In July 2015, the firm opened a legal and business support center in Belfast, Ireland, its second global services base, following the launch of its support center in the Philippines in 2000.

Leite said the firm was also paying closer attention to project management and pricing. “We are training our clients in these areas, which has made a difference,” he said. “For top clients, we have one set of rates and we keep our margins competitive. We are wiser in the way we work.”

The firm first appointed a global pricing director four years ago and is now looking to expand its pricing team.

By region, Leite said that U.K. turnover growth slightly outpaced the global figure of 8 percent. Overall, the Europe, Middle East and Africa (EMEA) region contributed 37 percent of total turnover, alongside 37 percent for the Americas and 26 percent for the Asia Pacific region.

Going forward, Leite said that the firm was focused on investing in teams in New York, China and London. In addition, he said Baker & McKenzie is aiming to ramp up its Africa presence, particularly in Kenya and Nigeria. But he said further office openings in the region are not imminent.

The firm already has Africa bases in Johannesburg, Casablanca and Cairo.

Baker & McKenzie has posted an 8 percent revenue rise against a 13 percent jump in profits per equity partner (PEP) for 2015-16, after a strong year for the firm in the face of much economic uncertainty around the world.

The firm’s turnover rose to $2.62 billion during the year ending June 30 2016, up from $2.43 billion the previous year. Meanwhile, PEP grew to $1.3 million.

Baker & McKenzie said that on a constant currency basis, these increases equated to 16 percent for revenue and 21 percent for PEP, due to the strength of the dollar against most currencies over this period.

Net profit, meanwhile, grew by 14 percent to $904 million–22 percent growth on a constant currency basis.

The positive results come after a weaker 2014-15, during which the firm saw revenue dip 4 percent while PEP fell 12 percent.

Baker & McKenzie chairman Eduardo Leite said there were “a number of factors” behind the recovery in PEP and revenue this year. He highlighted growth in specific sectors, such as technology, which he said has generated more work. In terms of practice areas, Leite highlighted the firm’s M&A, tax, financial services, trade and commerce practices as outstanding performers.

The firm won 67 major panel appointments during the year and took roles on significant deals, including the $5 billion acquisition of U.S. insurance firm StanCorp Financial Group by Japan’s Meiji Yasuda Life Insurance Company.

Leite added that the firm’s financial performance was boosted by an improvement in client service delivery.

In July 2015, the firm opened a legal and business support center in Belfast, Ireland, its second global services base, following the launch of its support center in the Philippines in 2000.

Leite said the firm was also paying closer attention to project management and pricing. “We are training our clients in these areas, which has made a difference,” he said. “For top clients, we have one set of rates and we keep our margins competitive. We are wiser in the way we work.”

The firm first appointed a global pricing director four years ago and is now looking to expand its pricing team.

By region, Leite said that U.K. turnover growth slightly outpaced the global figure of 8 percent. Overall, the Europe, Middle East and Africa (EMEA) region contributed 37 percent of total turnover, alongside 37 percent for the Americas and 26 percent for the Asia Pacific region.

Going forward, Leite said that the firm was focused on investing in teams in New York , China and London. In addition, he said Baker & McKenzie is aiming to ramp up its Africa presence, particularly in Kenya and Nigeria. But he said further office openings in the region are not imminent.

The firm already has Africa bases in Johannesburg, Casablanca and Cairo.