Pannone reports 12% profit growth after efficiency drive

A LEANER, more efficient Pannone has reported a 12% increase in annual profits to £10.4m.

Emma Holt, managing partner of the Manchester-based firm, described the growth in profits as “an excellent achievement”. Turnover in the year to the end of April was £45.6m, slightly behind last year’s figure of £46.2m.

Profit per equity partner (PEP) was up 6.7% at £239,000 compared with £224,200 in 2012.

Emma Holt said profit across all five divisions – corporate services, dispute resolution & regulatory, serious injury, Affinity and family, personal & financial – had increased after improvements to processes, a greater focus on pricing and previous restructuring.
 
She told TheBusinessDesk.com: “We are very pleased with the results and we are in a good position. As the economy comes out of recession we are seeing more than green shoots.

“There is obvious significant sector changes afoot and that creates opportunities as well as some turbulence.”

She said the firm had benefited from increased spending on digital marketing, which yielded a 40% increase in new cases from digital inquiries.
 
The firm reported strong turnover growth in its serious injury division as a result of high levels of instructions for its personal injury and clinical negligence teams.

Pannone has gained widespread coverage in relation to the recent reports into Care Quality Commission failings in the investigation into care at Furness General Hospital, in which the firm acted for a number of clients, and into the Keogh report (which looked into care across a number of NHS Trusts) and where the firm is acting for more than100 clients.

The team specialising in abuse work has been instructed by a large number of victims of Jimmy Savile and Stuart Hall.
 
Despite the departure of partner and former department head Hugh Jones , Pannone said its Court of Protection had had an “excellent year”, with 58 new deputyships.
 
Its white-label arm, Affinity,  saw turnover rise following a number of new client wins and is poised for further growth following the appointment of Jonathan Gulliford, one of the founders of Co-operative Legal Services, as a consultant.

Withing commercial services, Emma Holt said the real estate team had “punched above its weight” and had an outstanding year, winning new instructions in a tough market.
 
Mrs Holt, who took over at the helm as managing partner in 2010, said
Pannone was seeing the benefits of “reshaping the business” over the last few years.
 
Asked about potential consolidation in the sector she said: “Our focus will be on our core clients and on our strengths. We will explore all opportunities, but any opportunity has to fit with our clients’ requirements.”