Major Scottish law firm Thorntons has reported an increase in both turnover and profits following another successful year.
The firm’s turnover increased by £3.7 million to £20m as the business continued to expand in the year to May 2015. Profits rose by 0.69% to £4m.
The 23% rise in turnover was driven by a combination of further organic growth in certain sectors, and mergers with the firms of Steel Eldridge Stewart and Murray Donald in Fife last year.
The small rise in profit reflected a rise in operating expenses of 29.5% to £15.9m associated with the mergers.
Despite the major expansion, Thorntons stressed that its teams have remained focused on providing an excellent service to clients across all practice areas, ensuring that profits remained steady.
The results cap a fine year for the Dundee-based firm, which recently achieved its best ever rankings in the prestigious Chambers UK Legal Directory.
Thorntons climbed 33 places to eighth in this year’s SME 300 table following a year in which both turnover and profits grew significantly.
Craig Nicol, joint managing partner, said: “Our turnover increased exceptionally this year, driven primarily by growth in certain service lines and two mergers which have increased the size of the business significantly.
“Though continuing investment and the costs associated with mergers have impacted on our short-term profitability, our commitment to improving the efficiency of our operational processes will ensure increased profits and stability in future years.
“The commitment demonstrated by the entire Thorntons team to providing the best possible service to clients has ensured that our business has remained resilient.
“It is this dedication that fills me with confidence that we have a strong base from which to drive Thorntons forward to new successes.”
The firm has a workforce of around 420 people, including 39 partners.
The £4m profit is allocated to the members in remuneration and profit shares.
The profit includes interest on members’ funds, and members make their own pension arrangements.
Thorntons has offices in Dundee, Anstruther, Arbroath, Forfar, Cupar, Perth, St Andrews, Montrose and Edinburgh.
It can trace its roots back to 1857 when Sir Thomas Thornton began a legal practice in Dundee.