Key facts
- A&O Shearman reported profit before tax of $1.6 billion for FY26, up 14% from the prior year.
- Profit per equity partner (PEP) increased by 12% to $2.9 million.
- Revenue remained flat at $3.7 billion for the financial year ended April 30, 2026.
- The firm has focused on complex, cross-border matters and AI-enabled services to drive profitability.
- A&O Shearman has integrated generative AI enterprise-wide since 2022 and is rolling out agentic AI agents.
A&O Shearman has announced strong profit growth for the financial year ended April 30, 2026, with profit before tax rising 14% to $1.6 billion and profit per equity partner (PEP) increasing 12% to $2.9 million. Despite revenue remaining flat at $3.7 billion in U.S. dollar terms, the firm attributes the profitability gains to a deliberate strategy of focusing on complex, cross-border matters and AI-enabled services. This strategic recalibration has resulted in a nimbler, more focused firm that is advising on a greater share of its clients' most significant mandates.
The firm's sector-led strategy has driven notable successes, including advising Genmab on an $8 billion acquisition and Texas Instruments on a $7.5 billion acquisition. In disputes, A&O Shearman secured a landmark settlement for UBS and represented clients in major litigation wins. The firm also emphasized its leadership in artificial intelligence, having deployed generative AI enterprise-wide since 2022 and recently rolling out agentic AI agents to tackle complex legal workflows.
In the previous financial year, A&O Shearman achieved landmark client successes such as Liberty Global's $3.2 billion Sunrise Communications spin-off and Prosus's EUR4.1 billion acquisition of Just Eat Takeaway.com. The firm's commitment to innovation includes its AI-based contract management platform, ContractMatrix, built in collaboration with Harvey and Microsoft. A&O Shearman also highlighted its social impact initiatives, including significant pro bono hours and fundraising efforts.