CMS hails income growth – but keeps silent on profits

As the traditional law firm results season draws to a close, CMS is the latest leading firm not to disclose information on its profitability.

The international outfit has reported a 6.2% rise in global income to €1.862bn in calendar 2022, while the revenue of the UK LLP climbed to £686m, a 6.4% rise.

Last August CMS announced that PEP had climbed by 14% to £1.04m in the UK. The firm did not provide any information on profits this time and declined to say why it is not releasing this information.

Withholding information on profitability seems to be a developing trend. Mishcon de Reya has said it will no longer disclose profit per equity partner, describing the metric as ‘unhelpful’. Magic circle firm Freshfields Bruckhaus Deringer has gone further. From next year, disclosure will be limited to mandatory accounts filed months after the year end. ‘We consider the real sign of the firm’s progress to be based on the quality of business we’ve built and the client mandates we’re winning around the globe,’ said Freshfields managing partner Rick van Aerssen.

Penelope Warne, senior partner of CMS UK, said: 'The last 12 months have brought continued change and challenges, from inflationary pressures to geopolitical headwinds. However, as a business we have responded to these challenges and I’m proud of the growth we have achieved, and the resilience shown by our people to support our clients in these uncertain times.'

* ‘Unfollowing the money’