A&O Shearman Collects $3.7 Billion in First Post-Merger Year

A&O Shearman posted $3.7 billion (£2.9 billion) in revenue for fiscal 2025, surpassing expectations of the firms that created it in a merger.

The first financial report since the firm’s 2024 creation also showed a pre-tax profit of $1.4 billion (£1.1 billion) in the year ended April 30. Profit per equity partner was $2.6 million (£2 million), A&O Shearman said in a statement.

“Our clients are seeing the benefits of this scale and integration, and that momentum is accelerating,” said Hervé Ekué, A&O Shearman’s global managing partner.

Allen & Overy’s merger with Shearman & Sterling was made official in May of last year, the first combination of major US and UK firms in more than a decade. The merger created one of the world’s largest law firms with 4,000 lawyers.

The Thursday release of figures excluded any comparisons, though the revenue figure is higher than the $3.5 billion figure Allen & Overy and Shearman & Stearling said before the merger they believed would result from the combination.

The partner profit figure was higher than those at each of the individual predecessor firms last year, A&O Shearman said.

The firm has been hit with some departures. In June, nine London attorneys, including eight associates, left the firm to join a pair of structured finance partners who moved to Latham & Watkins months earlier.

A&O Shearman in July delayed the start date for a group of its associates to January, a tool that some firms have used in recent years as a belt-tightening measure in response to slowing demand.