International firms Herbert Smith Freehills and Clyde & Co have both reported strong rises in revenues on the back of sterling's depreciation against the dollar. However, profits do not appear to be growing at the same rate. 

Anglo-Australian firm Herbert Smith Freehills reported a 1% decline in profits for the year ending 30 April 2017, from £259m to £256m. However, revenues were up 10.6% to £920m. 

Mark Rigotti, chief executive, said the figures come against a backdrop of a ’demanding and volatile’ global economy. 'While we have seen a marginal reduction in profit, this partly reflects continuing investment in our network, our people and our technology. As we near the end of this investment period, our world class client portfolio and brand are stronger than ever across markets and regions. While the legal sector evolves rapidly, our business remains resilient,’ he added.

Meanwhile international firm Clyde & Co reported profits growing strongly, but at a lower rate than turnover. For the year ending 30 April profits were up 9% £127.6m on revenues up 14% to £508.1 million.

The firm said currency movements added 5% to the overall revenue figure. Profit per equity partner declined 2% to £650,000. Over the past 12 months the firm has increased the number of partners by 40 bringing the total to 397.

Simon Konsta, global senior partner, said: ‘To have achieved double-digit headline growth again this year is pleasing and is testament to the hard work of our people and the support of our clients.’