Even as the economy shrank, Washington's top-grossing law firms managed to make more money in 2008 than they did the year before. But the numbers aren't great, and even managing partners who say they're happy with their 2008 revenue say 2009 numbers will not be as pretty. This year's D.C. 25, our annual ranking of the top moneymakers among Washington law offices, shows that firms with a strong presence in the capital fared better than Am Law 100 firms as a whole. Profits were flat in Washington, compared to a 4.3% decline among firms on the Am Law 100, a list of the nation's highest-grossing firms, and revenue per lawyer was up 2.6% in Washington, while dropping 1.2% nationwide.
Regulatory, litigation work boosted revenues
Despite the national slowdown for legal work, Washington continues to be a key market: The revenue generated by D.C. 25 firms represents nearly a third of their total gross revenue. As usual, government gets a big share of the credit for work in Washington: Regulatory practices fared nicely. Litigation also helped boost bottom lines. Overall, gross revenue for the top 25 grew by 4.8% to $6.1 billion. The average profit per partner stands at $1.26 million.
Howrey rockets through recession
Last year was rough for many Washington firms, but Howrey wasn't one of them. The firm jumped six spots to No. 8 on this year's D.C. 25, fueled by a 28.8% increase in gross revenue. And Howrey did it during the worst economic downturn in decades. Managing partner Robert Ruyak said the firm's fortunes are based on its simple three practice formula: antitrust, global litigation and intellectual property.
Wall Street downturn hit Latham hard
Thanks to the turmoil in the financial sector — and dependence on corporate finance practice — Latham's D.C. gross revenue took the biggest plunge on the 2009 D.C. 25 list. But despite a 9% dip in revenue and a 21% drop in profit shares, Latham's partners are still some of the highest-paid in Washington. It's no doubt part of the reason why the D.C. office welcomed several high-profile lateral recruits in 2008.
CHART: THE 2009 D.C. 25
Despite recession, revenue steady in D.C.
