Law firm’s profits hit after drop in income from major client

LAW firm Gordons suffered a fall in turnover and profit last year, which it attributed to the “sharp decline in income” from its largest client, Morrisons.

The year also saw a number of partners leaving the firm.

“Gordons has always been a strong and stable firm so this was a challenge,” said managing partner Paul Ayre. “However, I am pleased to report that this was met head on and the final results bear this out. Average profit per partner was only 6.7% lower than the previous year.”

Mr Ayre described the year to March 2016 as “one of change for Gordons”, with turnover down 12.5% to £19.7m. Pre-tax profit dropped to £8.6m compared to £10.7m the year before, accounts just filed at Companies House show.

Last year it was revealed that Gordons was no longer advising Morrisons in several legal areas.

However, the firm said that big success stories during the year were in new client wins, and it now has a roster of more than 20 clients in the retail sector, as pushes forward with its aim of being the “leading law firm for retailers.”

Mr Ayre praised the firm’s core partner group, and the “terrific” support and trust from a “committed body of staff”.

“The values of the firm based on honesty, straightforwardness and the building of strong relationships with clients provide the platform for long term success,” he said. “That is why the firm has done well in the past and why it will continue to succeed in the future.”