Law Firms
Surge in BigLaw’s first-quarter revenues, new Wells Fargo data shows
BigLaw firms started the new year with strong momentum, showing a 13.1% increase in revenues in the first quarter of 2026, according to new data from Wells Fargo’s Legal Specialty Group. (Image from Shutterstock)
BigLaw firms started the new year with strong momentum, showing a 13.1% increase in revenues in the first quarter of 2026, according to new data from Wells Fargo’s Legal Specialty Group.
Wells Fargo, which surveyed more than 100 Am Law 200 firms for its latest three-month survey, noted that this also marks significant growth from the same period last year, in which BigLaw showed an 11.3% increase in revenues.
Wells Fargo attributed the increase in revenues to increasing billing rates and demand growth, which it measures by total hours logged by lawyers. According to its data, average standard rates increased 11.4%, and demand growth increased 4.5% in the first quarter of this year. Comparatively, average standard rates increased 9.5%, and demand growth increased 1.7% in the first quarter of 2025.
Wells Fargo also noted that improving lawyer productively contributed to increasing revenues at Am Law 200 firms. Even though lawyer head count was down slightly in the first quarter of this year, lawyers’ average billable hours increased by 1.2%. During the same period last year, lawyers’ average billable hours decreased by 1.6%.
Among its survey’s other results, Wells Fargo pointed out that inventory is growing faster than revenue. As a result, the inventory collection cycle, defined by the “number of days it takes to collect fees once work is performed,” slowed by 3.4% in the first quarter of this year. Inventories largely increased in line with collections during the same period last year.
Reuters, Law.com and Law360 have additional coverage.
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