Revenues up 4.4% with growth in all regions
PPP up 3%
Major program to drive global digitization and optimal client service delivery
Leading the sector for our people through Diversity & Inclusion
Baker McKenzie, the leading global law firm, has announced record revenues for the fiscal year ended 30 June 2019 (FY19) of $2.92 billion. In terms of constant currency, Baker McKenzie’s revenues were up 4.4% compared to the previous year. In US dollar terms, the Firm’s reporting currency, this translates into growth of 1.2%, after the effect of adverse currency exchange.
Baker McKenzie remains the most geographically diverse global law firm and all of our regions recorded growth as follows: EMEA +5.2%, AP +2.1%, LA +9.0% and NA +4.0%
All of our key financial metrics improved over last year: revenue growth, net income, profit margin, Profits per Partner (PPP), Revenue per Partner and Profits per Lawyer. We are especially pleased to accomplish this amid a market with flat demand. PPP was up by 3% to $1.48 million in US dollars. Overall net income or profit rose by 2% to $1 billion. Over the last decade the Firm has grown by 40% in terms of revenue and 50% in terms of PPP, outperforming most of our competitors.
Among our standout markets, all with significant double-digit growth, include Bogota, Buenos Aires, London, Prague, Turkey and Warsaw.
Baker McKenzie Acting Chair Jaime Trujillo says, “Recording 4.4 percent growth in a market as challenging as this while maintaining our commitment to all of our offices and our full service offering is a good result. The investments the Firm continues to make in legal services, the centers of excellence we have opened in lower-cost locations, and more effective partnering with clients, supported by long-term investments in industry, practice and client programs have enabled us to show profitable growth.
“This is despite the distinct geopolitical head winds throughout the second half of the year, which prompted our clients to cancel or postpone projects. We are also one of the most geographically diverse professional services firms in the world, both one of our key strengths, and at times a challenge in markets impacted when the US dollar is so strong, as it was this past year.”
Leading global law firm Baker McKenzie is proud to announce that following a vote of its partnership, Milton Cheng has been elected as the next Chair of the Firm.
Based in Hong Kong, Milton is the Managing Partner of the Hong Kong office and concurrently the Chief Executive overseeing Baker McKenzie’s offices and businesses across eight countries in the Asia Pacific region.
Milton has considerable experience in mergers and acquisitions, real estate investment trusts, financial services regulation, corporate finance and corporate restructurings. He regularly advises clients — including REIT and other asset managers, financial institutions, multinationals and Hong Kong-listed groups — on a wide range of acquisition, REIT, restructuring, regulatory and corporate finance matters.
A graduate of King’s College London, Milton became a partner of Baker McKenzie in 1999 and is admitted to practice in Hong Kong and in England & Wales. He is the Firm’s first Asian Chair.
Milton Cheng, Chair-elect of Baker McKenzie said, “I am truly honored by the trust my fellow partners have placed in me. I look forward to working with all of them and my colleagues across the world to build on the great work of my predecessors to make Baker McKenzie the global law firm of choice.”
Milton, who will serve in the role for four years, takes up the position with effect from October 17, 2019 succeeding Jaime Trujillo, who has been Acting Global Chair since October 2018.
Jaime said, “We had a group of outstanding candidates for our next Chair and the partners had a difficult decision to make. In choosing Milton we have someone who can take this great Firm to the next level. I offer him my sincerest congratulations.”
We are different from other law firms in the way we think, work and behave. Global in our outlook from the beginning, for six consecutive years we have been named as the world’s strongest law firm brand by Acritas, underlining our dedication to being the best. We know the value of our talent in sustaining this success and so we’re committed to offering the platform to nurture this talent.
Baker McKenzie advised private investment firm Monomoy Capital Partners in its acquisition of Kauffman Engineering Inc., an Indiana-based manufacturer of wire harnesses and cable assemblies for electrical systems.
Founded in 1973, Kauffman operates about 20 facilities across the United States and Mexico and serves clients across the HVAC, commercial equipment, specialty vehicle, lawn care, marine, medical and other industrial markets.
“We partner with our private equity clients to add value wherever we can and ensure a smooth process in negotiating and closing deals, so they are able to realize as much growth as possible. We are pleased to help Monomoy do just that in this acquisition,” said Michael Fieweger, Baker McKenzie’s lead M&A partner on the transaction.
Baker McKenzie has the world’s largest M&A practice, with nearly 1,400 lawyers executing more cross-border transactions than any other law firm.
The Baker McKenzie team included Michael Fieweger, Garry Jaunal and Emeka Chinwuba.
About Monomoy Capital Partners
Monomoy Capital Partners is a private equity firm with $1.5 billion in committed capital that invests in middle-market businesses in the manufacturing, industrial, distribution and consumer products sectors. The firm invests in the both the equity and debt of middle-market businesses that can benefit from operational and financial improvement. Monomoy designs and executes a customized value creation plan for each acquisition that seeks to generate significant cash flow and improve earnings within 12 to 18 months of an investment. Over the past 14 years, Monomoy has closed over 50 middle-market acquisitions. To learn more about Monomoy and its portfolio companies, please visit the firm’s website at www.mcpfunds.com.
Leading Global law firm Baker McKenzie has been named Europe’s strongest law brand in the 2018 Acritas Mainland Europe Index.
The Firm received an overall score of 100 – nearly 30 points ahead of the firm that ranked second place – and ranked top for awareness, favourability, top level engagement, multi-jurisdictional deals, multi-jurisdictional litigation, high value usage and inbound usage. The Firm ranked number one in France and Russia, and placed high in Germany, Spain and Italy.
Constanze Ulmer-Eilfort, Baker McKenzie’s Chair of the EMEA region, said: “To be named the top legal brand in Europe is an outstanding endorsement of the work we do and is welcome validation from the European market of the progress we have made. We’ve built our business around investing in our client relationships and innovating to stay relevant to clients so we’re delighted that commitment has been recognised by senior legal buyers across Europe.”
Ranking is based on the responses of 448 senior legal buyers, based in Mainland Europe about their organization’s overall legal needs, and a further 311 senior legal buyers about their international needs in the key jurisdictions of France, Germany, Netherlands, Russia and Spain.
Esteban Raventós, a member of the Firm’s Global Executive Committee, said: “Brands are built upon trust, and in professional services trust is built through excellent service and expertise. We’re pleased to be recognised for the depth of our practice in mainland Europe and our unique ability to deliver global perspectives and local expertise simultaneously.”
The Firm’s European ranking follows Acritas naming Baker McKenzie the strongest global law firm brand in its Global Elite Law Firm Brand Index for the ninth year in a row. In the global survey, the Firm ranked at the top for each of the measures in the Acritas Index – awareness, favourability, consideration for multijurisdictional deals and for multijurisdictional litigation.
Leading global law firm Baker McKenzie has advised PSP Swiss Property (PSP) on the acquisition of the so-called “Carba Portfolio” in Bern-Liebefeld, valued at CHF 180.5 million, which was purchased by a share deal.
The portfolio consists of several properties with approximately 36’000 m2 of usable floor space; it offers state-of-the-art and representative premises for offices and services as well as attractive commercial space. The “Carba portfolio” is practically fully let and generates a gross yield of 3.9%.
“We are very pleased to have supported PSP in their acquisition of their real estate portfolio with our legal and tax expertise,” commented Martin Furrer, partner in Zurich.
PSP Swiss Property owns a real estate portfolio worth CHF 7.4 billion in Switzerland’s main economic areas; its market capitalisation amounts to CHF 4.7 billion. The 92 employees are based in Geneva, Olten, Zug and Zurich. Since March 2000, PSP Swiss Property has been listed on the SIX Swiss Exchange
Baker McKenzie provided comprehensive advice to PSP with regard to all legal and tax aspects of the acquisition and during negotiations. The Baker McKenzie team comprised Martin Furrer (Partner Zurich), Samuel Marbacher (Partner, Zurich) as lead partners, Mario Kumschick, Selina Mani, Valeria Knöpfel, Michael Zeller, Cathrin Marxer, Basil Kirby, Philippe Monnier and Andrea Puricelli.
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