Home Estate Planning Gateley’s nine year streak of revenue growth continues despite dented profits

Gateley’s nine year streak of revenue growth continues despite dented profits

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Legal and professional services group Gateley has extended its unbroken run of revenue growth since its IPO in 2015.

The AIM-listed firm, which nine years ago became the first UK full service law firm to list on the London Stock Exchange, saw its revenue rise by 6 per cent in the year ended 30 April. Revenue for the period hit £172.5m.

Its dividend per share remained unchanged at 9.5p, and it maintained its net cash position, albeit slightly smaller at £3.8m versus £4.3m in the previous year.

But profit slumped on the back of management’s decision to reinstate the company’s employee bonus, which it dropped last year to shore up its bottom line.

A total of 70 per cent of the company’s staff are shareholders, having joined via the group’s employee share ownership scheme. Under the scheme the company dished out £4.5m to staff for the period.

As a result of the payout, after tax profit fell from £12.2m to £10m, down 17.7 per cent.

Rod Waldie, CEO of Gateley, said: “I am pleased with our FY24 outturn given our cautious view of market conditions during the Period, particularly around the turn of the calendar year in H2.  

“Our people have worked hard to deliver another year of growth via our increasingly diverse and resilient business model, combining complementary legal and consultancy services.”

The reporting period involved the acquisition of the chartered surveyors Richard Julian and Associates for £6m, which Waldie said was already performing above the board’s expectations. It also included the establishment of Gateley’s class actions legal team that launched its first case in early 2024.

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