Martineau Johnson has announced record fee income for the year to the end of April - revenues were £19.2 million, up from £18.6 million in 2004.

The Birmingham and London law firm's annual results, announced yesterday, reveal that the profit before taxation was also ahead of last year at £5 million.

Profit per equity partner hit £180,000 from £170,000 - there are 15 equity and 24 fixed share partners in the firm.

The improvement has been achieved despite short term disruption associated with Martineau's move from its two former Birmingham offices to prestigious new premises at No 1 Colmore Square.

Revenues grew particularly strongly in the second half of 2004/5 as the benefits and efficiencies of the move began to show through.

The switch has been hailed as a big success, with staff responding positively to the open plan layout. The hope is that it will help boost productivity.

Managing partner William Barker is expecting those gains to build.

He said: "The move to our new office has worked wonders for us. Not only has it enabled us to use the latest technology, but the layout has also helped us to build further on our values of teamwork and service delivery. People have come together in a way they never did before. There is much more cross-fertilisation.

"Furthermore, the move came at a good time as the service sectors we have been focusing on like energy, education and banking and corporate activity seem to have entered a period of sustained growth.

"Our operations in the property sector have also accounted for 20 per cent of turnover, showing a successful year for us in this area.

"While we are continuing to benefit from the development of these sectors, we have also continued to build our market share.

"In energy and utilities, for example, our total sales revenues rose by almost a third compared with the previous year.

"Over the last few months, we have continued to see a rapid growth of corporate deals. Our merger and acquisition activity for example saw a 28 per cent rise over the previous year.

"It was also encouraging to see that revenues in our commercial disputes department rose by ten per cent compared with last year.

"Overall, our strategy is working even better than we expected. Our aim is to build further on our resources and reputation and consolidate our position as key players on the national stage in all our chosen market sectors."