RPC points to investment as PEP falls back despite 10% revenue rise
Decline in partner profits of 9.9% followed spectacular rise in 2021; income reaches £149.4m
UK law firm RPC has posted its provisional results for the financial year 2021/22, with global revenue growing 10% to £149.4m against a 9.9% dip in profit per equity partner (PEP) to 571k.
The fall in PEP marks a stark contrast with RPC’s performance during the prior financial year, when PEP grew by a whopping 49.5% to £634k against a 23% hike in revenue to £136m.
The firm chalked up the drop to a drive towards investment in people, IT and infrastructure, including the firm’s new offices in Bristol.
The latest revenue figure means the firm has grown revenue by 36% over the past two years.
James Miller, RPC's managing partner, was upbeat about the results: "After a successful FY21, we continued our strong revenue growth into the last financial year – growth that has come from investing in our people and investing in our infrastructure to better support our clients. That investment has carried us to a new record global revenue figure.”
Miller said the firm saw continued growth across all of its core areas, including commercial and financial markets disputes, retail, insurance, technology & media and regulatory.
"We are committed now more than ever to delivering against our ambitious growth plans for the coming years. We will continue to develop and invest in good people – the recent promotion of 10 new partners and three of counsel being the first step, with more growth and investment announcements to come shortly," he added.
As well as promoting internal talent, the firm has made a number of laterals over the past year including adding arbitration partner Shai Wade from London rival Stephenson Harwood in June to head the firm’s international arbitration team. The same month the firm hired insurance specialist Mike Newham from Mayer Brown, where he served as counsel.
And in January it secured the co-head of Ashurst’s Korea practice, Peter Kwon, in Hong Kong to lead its newly-formed Korea desk. Kwon brought experience advising Korean financial institutions, industrial conglomerates and investment funds in major cross-border disputes and the firm said at the time that his reputation in the Korean market would support its focus on expanding its presence in the country.
Last year the firm also launched RPC Tectonic, an accelerator programme that offers ESG-focused tech companies up to £100,000 worth of legal advice, and Global Access Lawyers, a network of six firms from different countries intended to give clients greater access to insurance law specialists across different international markets.
And in March the firm sold its global insurance software business RPC Tyche to Aon for an undisclosed amount, exiting the company it jointly owned with software and consultancy firm Marriott Sinclair.