Many of state’s law firms seeing revenue increase, according to survey

By Lynda Cohen
New Jersey | Sep 25, 2017 at 10:45 am

Most of the law firms operating in the state saw increases in revenue in 2016 over the previous year, according to the New Jersey Law Journal’s annual survey.

The journal ranks firms for its Top 40 by revenue generated only from their New Jersey offices, regardless of where else they operate.

More than two-thirds of 40 firms operating in the state saw at least small increases in revenue, with half posting revenue per lawyer in a range of $500,000 to $700,000.

A little more than half of the firms listed have a profit per equity partner figure significantly greater than their per-lawyer revenue.

That, according to the journal, indicates a higher-leverage business model in which equity partners are few and nonequity attorneys of various ranks are numerous.

But, about a third have profit per equity partner that is lower or about the same as the per-lawyer revenue, which indicates the opposite — a higher proportion of lawyers with an equity stake in the firm.

Despite revenue jumps being hard to come by in the legal market, some firms in the state did see substantial jumps.

Archer & Greiner in Haddonfield saw its gross revenue in the state rise by 7.6 percent, to $78 million for the year. That’s significantly higher than its firmwide increase of 4.6 percent, to $91 million.

Philadelphia-based Drinker Biddle & Reath saw 12.4 percent gross-revenue increases in its Florham Park and Princeton offices. That pushed it from No. 11 on the 2015 list to No. 8 for this past year.

Morristown’s Riker Danzig Scherer Hyland & Perretti increased revenue 5.3 percent, to $68.1 million.

Brach Eichler of Roseland saw revenue grow 7.5 percent, to $35.8 million, which boosted it from No. 27 to No. 24 on the list.

And, also in Roseland, Mandelbaum Salsburg saw a 16.4 percent jump in revenue, to $27 million, which took it to No. 31 from No. 35.

Lynda Cohen | lcohen@roi-nj.com | LyndaCohen