DWF reaps rewards of business streamlining, as it eyes Middle Eastern expansion
Legal group DWF has enjoyed a financial uplift after streamlining the business last year, as it looks to expand in the Middle East.
Revenue inched 3.8 per cent higher to £203.5m in the six months to 31 October, while operating profit swung from an £8.9m loss in the same period last year to £13.6m.
Net revenue per partner has also jumped nearly 10 per cent to £488k – as legal firms battle it out for top talent post-lockdown.
The results have prompted the board to approve an interim dividend of 1.5p per share.
The Manchester-headquartered firm had its free cashflow dive more than 78 per cent from £19.5m to £4.2m, following the repayment of its Covid-19 loans which were worth some £5.4m.
After launching a regional headquarters in Saudia Arabia, and building exclusive ties with local law firm Al-Ohaly & Partners, DWF said it is already producing a “strong pipeline of new business opportunities in the Middle East”.
The firm expects its current momentum to continue into the second half of its financial year, as “the legal sectors enjoys sustained demand for services”, DWF added.
“We are delighted with our performance for the first half of FY22,” CEO Nigel Knowles said, as there has been a “compelling step-change in profitability”.
The firm has also set out a new ESG strategy, which should see it cut down its carbon emissions in the long-term, and also outline new diversity and inclusion targets.
“The strategy includes new and stretched targets focused on climate action and further improving our diversity and inclusion performance,” the CEO explained.
“We want to build on our established programmes to become the market leader in ESG and we believe that the strategy announced today creates a firm foundation to help us achieve our targets.”