The nation’s top-grossing firms saw only mediocre gains across key financial metrics last year, marking the slowest growth since the Great Recession. The numbers reflected a leveling off of demand for legal services and global uncertainty in core markets, among other challenges. Consolidation continued to remake The Am Law 100, with several firms leapfrogging in the rankings after mergers or acquisitions. And despite the so-so financial performance overall, some firms had a stunning year.
FEATURES & ANALYSIS
Profits Per Partner
For The Am Law 100 as a whole, average profits per partner rose by 4 percent in 2015, falling short of 2014’s increase of 5.3 percent. Wachtell became the first firm to top $6 million in profits per partner, with an average PPP of $6.6 million.
The metric that we’ve long regarded as the most reliable measure of a firm’s financial health increased by 2.6 percent at Am Law 100 firms in 2015, lower than the 3.7 percent increase recorded in 2014.
On average, value per lawyer for The Am Law 100 increased by 3.3 percent, lower than 2014’s rise of 6.2 percent.
Average compensation-all partners increased by 3.7 percent in 2015, down slightly from a 4 percent rise in 2014.
How we report law firm financials.