Foxtons Group Plc reveals strong revenue growth driven by accelerated London
Chief executive Nic Budden says the strong trading momentum is expected to continue through the second quarter.
Group Plc () told investors it started 2021 well with strong revenue growth seen in the first quarter.
The London focussed property agent reported a 24% rise in revenue to £28.5mln for the three months ended March 31 as volumes overcame under pressure rent prices in the capital. The sales side of the business saw a 60% increase amidst ‘accelerated’ volume growth as lockdown restrictions were eased over the period. Mortgage broking revenue gained 20% to £2.3mln.
The company noted the benefits of the recent acquisition of Douglas & Gordon, which contributed around £1mln of revenue and its investment in ‘next generation’ property website Boomin.
“I am delighted with the start we have made to the year, which is the best first quarter’s trading in some time,” said Nic Budden, chief executive.
“The acquisition of Douglas & Gordon, the largest acquisition in our history, represents an acceleration of the group’s strategy and is a business with significant potential.
“Our recent investment in Boomin demonstrates our commitment to remain at the forefront of technology.
“As we look forward, the strong trading momentum is expected to continue through the second quarter and together with tight cost control gives us confidence that operating profit for the first half will be significantly higher than last year.”
In early deals in London, Foxton shares gained 1.6% to trade at 68.08p.
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