AG has announced provisional fee income for the year ended 30 April 2016, of £202m, a headline increase of 5 per cent on the prior year, with distributable profits for the same period increasing by more than 20 per cent.
The increase in income and net distributable profits has flowed through to net cash, which closed substantially up on the prior year at £25m, an increase of more than £20m. This year's figures include an element of uplift in fees paid for mandates executed in previous years.
John Joyce, Managing Partner said: "Following on from a 12 per cent increase in income in 14/15, we are very pleased to have been able to deliver a further increase in both profits and income. Two years ago we set out a plan to improve business focus, performance and returns and are making good year-on-year progress, underpinned by some especially strong returns from our transactional and international teams."
He added: "There will now inevitably be an extended period of uncertainty as a result of the EU referendum and other macro economic issues. We have seen that reflected in confidence and transactional activity since the start of this year and are thankful that a lot of the measures we have taken over the last 2 years leave the firm not only in an incredibly strong position but also very well positioned with an improved platform, client portfolio and sector focus. Delivering sales growth is a key imperative for us this year but will clearly be a challenge."
Over the last 12 months the firm confirmed that it continues to invest extensively in both Leeds and Manchester (both key markets where the firm holds a market leading position) – with planned moves to 3 Sovereign Square, Leeds and 1 St Peters Square, Manchester, (scheduled for late 2016 and early 2017 respectively), developed its partner capability in key areas with 25 partner appointments (including 3 in the international network), both laterally hired and internally promoted, completed a range of high value and complex client assignments, and enjoyed a number of notable successes across its chosen sectors and markets. Examples include:
- New appointments / reappointments, including Dixons Carphone, National Grid, British Land, Siemens, Tata Chemicals, Serco, an Oman Sovereign Wealth Fund and the Care Quality Commission - the independent regulator of health and social care in England.
- GVC Holdings plc: £1.1bn takeover of bwin.party
- Manchester Airport: £1bn terminal transformation programme
- A major international bank as co-counsel in connection with the CMA's high profile (and ongoing) market investigation into retail banking
- Tabung Haji: £250m disposal of 151 Buckingham Palace Road, London which together with the acquisition of the adjoining building by the same purchaser represented one of the largest property deals in the West End
- Criterion Capital Group: c. £1 billion debt refinancing; AG's biggest ever Real Estate Finance deal secured on a large property portfolio of shopping centres and London Trocadero and Criterion Building
- High profile Commercial Court cases: eg acting for Dar Al Arkan (the largest property developer in the Middle East), and Bank Alkhair, (a Bahraini investment bank) v Al Refai in a $1 billion High Court multijurisdictional action involving allegations of conspiracy, and breach of confidence
- Advice on the implementation of ApplePay
- The launch of AGIntegrate - our contract lawyer offering
- Our Future Leaders programme extended into Africa