Am Law 200 Experiences Growth, But Warning Signs Persist
The American Lawyer Publishes Annual Ranking of 200 Highest-Grossing Law Firms
New York, NY – May 22, 2019 — The American Lawyer has released the 2019 Am Law 200 data, providing a detailed look at the financial health of an industry that in 2018 continued to show significant gains in key financial metrics.
This year’s Am Law 200 data shows gross revenue grew 3.1 percent on average, net income increased by 2.9 percent, profits per equity partner grew by 2.8 percent, revenue per lawyer moved up 1.6 percent, and head count rose 1.5 percent.
The 2019 Am Law 200 data, along with several articles analyzing the results, will be made available in the June 2019 print issue of The American Lawyer, and online at https://www.law.com/americanlawyer/rankings/the-2019-am-law-200/.
“The 2019 Am Law 200 report shows a tempered version of the financial strength demonstrated by the Am Law 100,” said Gina Passarella, Editor-in-Chief of The American Lawyer and ALM’s Global Legal Brands. “Firms, on average, performed well, but the growth was significantly less than what the first 100 firms experienced, highlighting the added pressures faced by smaller firms with less differentiation.”
ALM Intelligence assisted in compiling the Am Law 200 data with the use of Legal Compass and provided analysis in conjunction with The American Lawyer for it’s June issue.
“This year’s Am Law 200 data reveals worrying signs for the mid-sized firms that inhabit the Am Law Second Hundred,” said Nicholas Bruch, Principal Analyst at ALM Intelligence. “While some firms performed well, many struggled. Forty-three percent of the Am Law Second Hundred saw reductions in revenue, on an inflation-adjusted basis. Nearly half saw reductions in profitability. The data suggests mid-sized firms are suffering from a combination of slow demand, weak pricing power, and rising costs. The fact that mid-sized firms are struggling with these issues while the broader economy is doing well should cause law firms leaders unease.”
To request access to the Am Law 2019 data, please visit: at.alm.com/2019amlaw200
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