Aggressive rate increases and a diversified practice mix helped Baker & Hostetler reverse the profitability losses incurred in 2022. But as cost pressures from travel and compensation mount, the firm is weighing its options for how to invest in future growth.

From $971 million in gross revenue, the firm secured a 6.1% net income increase to $218.3 million, reversing the 5.8% drop the firm saw in 2022. As the firm’s equity partnership grew by three attorneys to 120, profits per equity partner also grew 3.6% to $1.8 million.