PEP drops 8% at Reed Smith

Topics: City,Law firm & practice management,Financial results

  • Print
  • Share
  • Comments (1)
  • Save

Related images

  • Broadgate tower

Profits per partner at international firm Reed Smith dropped by 8% in 2015, in part due to the slump in global commodity prices, the firm revealed today. 

Profit per equity partner in the year ending December 2015 was $1.1m (£0.77m), down 8.1% from the previous year’s $1.2m. Revenue dropped 2.5% during the same period, from $1.15bn to $1.12bn.


Reed Smith said that its revenues were hit by early resolutions of a number of significant litigation matters in 2015, as well as the impact of world events such as the slump in commodity prices.

It said: ‘We have a large sophisticated energy and natural resources practice, so when our energy clients have a tough year, we are affected as well.’

In 2015, the firm saw a 40% increase in its lateral partner hires from 2014. It said that it made 47 lateral hires in 2015 compared with 34 in 2014. Meanwhile at the start of this year the firm said it was cutting 45 lawyer roles across its offices in the US, Europe and the Middle East as part of a restructure to remain competitive.

Reed Smith said it expects 2016 will be a ‘year of growth’, and that it particularly expects a busy year for its intellectual property practice.

Readers' comments (1)

  • This wouldn't be the reason why Reed Smith very recently announced that they would be increasing their billables targets by 13% whilst freezing pay?

    Unsuitable or offensive? Report this comment

Have your say

You must sign in to make a comment

  • Print
  • Share
  • Comments (1)
  • Save


Sign up for email news alerts

Daily Update. Keep abreast of the latest developments that affect the profession


LAW MERGERS BUSINESS FACILITATORS TO THE LEGAL PROFESSION Services Include: Mergers, Sales, Valuations, Practice Development, Feasibility Studies, Consultancy. CONTACT IN CONFIDENCE: Neville or Mack Dinshaw LAW MERGERS & ACQUISITIONS DX 42809 Kingsbury Tel: 020 8204 3600 Fax: 020 8204 4654 Email: Web: WORLDWIDE CLIENT BASE QUALITY MANAGEMENT ISO9001 Registered Firm

SELLING? MERGING? VALUING? Acquiring? Free information from 01494 483728. or

DUE TO THE retirement of one of two Partners in a Bolton based firm we are now seeking interested parties to join / merge. T/O in excess of £300k. Email

SMALL EAST MIDLANDS Practice seeks sale or merger. Good mix of Property, Private Client work with some litigation. Leased premises till beginning of November 2016, minimal dilapidations and willing to move. Turnover £440,000.00 per annum. Contact 07825 632078.

Browse the magazine

Current Issue

The Gazette offers you up-to-the-minute national and international news, opinion, features, in-depth articles plus a jobs and appointments section.

Please click the link below for a digital edition