Fast-growing law firm sees evidence of ‘encouraging recovery’
Knights is seeing an “encouraging recovery” from the impact of Covid-19, with new business levels now 10% below pre-pandemic levels.
The fast-growing law firm said it “expects this ongoing improvement to continue over the remainder of the year”.
Knights has the ambition to build “the leading legal and professional services business outside London”. It continues to see “strong momentum in recruiting senior level talent from traditional partnership models”. It says 23 partners have already joined or accepted positions to join in the current financial year and expects current conditions “to accentuate both recruitment and acquisition opportunities”.
In November Knights bought Birmingham firm Emms Gilmore Liberson in a £4.7m deal and followed that two months later with the £1.8m purchase of commercial litigation specialist ERT Law.
The Staffordshire-headquartered firm has been busy executing its consolidation strategy and its other acquisitions include Shulmans, Fraser Brown, Turner Parkinson and Spearing Waite, as it builds its presence in key regional markets.
It revealed major office deals in Birmingham, Leeds and Nottingham over the summer.
Knights’ chairman Bal Johal will update investors later today at the company’s AGM.
He will say: “The last financial year saw Knights deliver another year of strong cash generative, profitable growth with organic growth complemented by acquisitions.”
The business has more than tripled its number of employees to 1,100 and has more than doubled its number of offices to 13 since its IPO.
Knights generated pre-tax profits of £13.6m in the year to April. Profits had increased slightly more than the 41% jump in revenues, which reached £74.3m.
It has seen its market value almost quadruple to £400m since it listed on the stock market in June 2018, with its share price recently returning to the highs it hit in February before coronavirus caused the market to fall.