This report is part of Texas Lawyer’s coverage of the 2013 financial results of the 25 highest-grossing Texas-based firms as part of the AmLaw 100 and Second Hundred reports. Texas Lawyer will publish its Annual Report on Firm Finance on April 28. The American Lawyer, a Texas Lawyer affiliate, will publish full results for the AmLaw 100 in May. The AmLaw Second Hundred will be published in June.
Just about every practice area at Vinson & Elkins was up in 2013 compared with 2012. That led to strong results at the Houston-based firm, with a 6.5 percent increase in gross revenue and a 13.3percent jump in net income.
“We were very, very pleased with 2013,” said T. Mark Kelly, chairman of the firm and a partner in Houston. He attributed the busy year to “great clients.”
Kelly said the practice areas with improved year-to-year revenue include complex commercial litigation, condemnation, intellectual property, capital markets, energy transactions, appellate, finance, and mergers and acquisitions.
Also, Kelly noted, results from the firm’s Middle East offices, which have been “challenging” in the past, were in the black in 2013. The firm has offices in Abu Dhabi, Dubai and Riyadh.
“By and large, in most of our areas, we had an increase in revenues,” he said.
The restructuring practice area was down in 2013, but Kelly said that’s not unique at V&E, because of “low interest rates, a robust economy and the energy business doing well.”
Gross revenue came in at $630.5 million in 2013, compared with $592 million in 2012, and net income was $273 million, compared with $241 million the year before. Average revenue per lawyer was $970,000, up 10.9 percent compared with $875,000 in 2012. Profits per partner averaged $1.71 million in 2013, up 16.3 percent compared with $1.47 million.
Although revenue was up, the firm still took steps to control costs in 2013, Kelly said. He said the firm closed its Shanghai office in 2013, because lawyers can service clients in the region from the firm’s Beijing office, and the firm also reduced lawyer count in the Middle East.
The firm had a full-time equivalent of 650 lawyers in 2013, down 4 percent from 677 the year before.
V&E has Texas offices in Austin, Dallas and Houston. It also has offices in Abu Dhabi; Beijing; Dubai; Hong Kong; London; Moscow; New York; Palo Alto, Calif.; Riyadh; San Francisco; Tokyo; and Washington, D.C.